Under Overlapping Bearish Factors, LME Lead Pulled Back After Hitting Highs [SMM Lead Morning Brief]

SMM June 4:

Overnight, LME lead opened at $2,038/mt. With repeated setbacks in US-Iran ceasefire progress, non-ferrous metals declined across the board. After touching $2,046/mt for two consecutive days, LME lead began to fluctuate downward overall, with losses widening particularly during the night session, nearly giving back all of the previous day's gains, ultimately closing at $2,020.5/mt, down 0.81%.

Overnight, the most-traded SHFE lead 2607 contract opened at 16,575 yuan/mt. Under pressure from increasing domestic supply, compounded by the drag from LME lead's decline, SHFE lead fell consecutively after the open, dropping below all moving averages to a near three-week low of 16,485 yuan/mt. The decline eased slightly toward the close, with SHFE lead ultimately settling at 16,500 yuan/mt, down 0.87%. Open interest stood at 63,578 lots, an increase of 2,430 lots from the previous trading day.