SHANGHAI, Oct 14 (SMM) - As of October 14, the social inventory of lead ingots across Shanghai, Guangdong, Zhejiang, Jiangsu and Tianjin was 67,500 mt, up 1,400 mt from before the National Day holiday and 1,400 mt from Monday (October 10).
According to the survey, the consumption of lead market during the first week after the National Day holiday was stable, and the procurement of lead returned to normal after the intensive stockpiling before the holiday. At the same time, due to the maintenance, pandemic control and other factors, the supply of primary lead tightened, and lead prices rose during the week. The price spread between futures and spots expanded and exceeded 200 yuan/mt, hence cargo holders were more willing to ship. As such, the socila inventory of lead ingots increased. The SHFE 2210 lead contract is about to be delivered on October 17. The deliverable goods will continue to be transferred to the delivery warehouse. In addition, the impact of the pandemic in Anhui has eased recently, and some secondary lead smelters increase the production slightly. Therefore, the supply is expected to increase, and the follow-up social inventory of lead ingots may further increase.
