The Most-Traded SHFE Lead Contract Rolls Over to the Deferred Month, SHFE Lead Consolidates and Closes Lower [Lead Futures Brief]

SMM July 28 News: Today, the most-traded SHFE lead 2609 contract opened at 15,635 yuan/mt. In early trading, bulls increased positions, pushing up SHFE lead prices. At one point during the session, it hit 15,735 yuan/mt. Subsequently, bulls reduced positions and exited, causing the price center of SHFE lead to move lower again. It finally closed at 15,625 yuan/mt, down 0.06%. The open interest of the most-traded SHFE lead contract fell below the 100,000-lot mark to 97,789 lots on the day, a decrease of 8,807 lots from the previous trading day, hitting a low in nearly half a month. Meanwhile, open interest in the distant-month SHFE lead 2610 contract increased significantly.

It is noteworthy that as open interest in the 2609 contract declined sharply and the 2610 contract saw concentrated position building, the pattern of contract rollover became increasingly evident. Funds gradually shifted to distant-month contracts, affecting trading activity in near-month contracts to some extent. Given that fundamentals have not improved significantly, SHFE lead is expected to continue to consolidate on a subdued note in the short term.

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