Bull funds drove a sharp overnight surge in lead prices, with both LME lead and SHFE lead rising by over 1%. [SMM Lead Morning News]

SMM January 15:

Overnight, LME lead opened lower at $2,046.5/mt. During the Asian session, it initially rose then fell. Entering the European session, driven by short covering, LME lead continued to strengthen, hitting a high of $2,088.5/mt, marking a new one-month high. It maintained fluctuations at highs towards the close, finally settling at $2,085.5/mt, up $25.5/mt or 1.24%. A large bullish candlestick with no lower shadow was recorded.

Overnight, the most-traded SHFE lead 2603 contract opened higher with a gap at 17,455 yuan/mt. After brief consolidation at the opening, driven by a large influx of long funds, SHFE lead showed a unilateral rising trend, climbing to a high of 17,680 yuan/mt. It then experienced a slight correction before rising again, ultimately settling at 17,620 yuan/mt, up 235 yuan/mt or 1.35%. A large bullish candlestick was formed, with the KDJ line gap narrowing, showing a trend towards convergence.