SMM Lead Market Morning Comment (July 5)

Overnight, LME lead opened at $2,224.5/mt. The US dollar index continued to decline, and LME lead moved rangebound at a high level throughout the day, with its price center shifting upward compared to the previous trading day. During this period, although the lead inventory accumulation caused a slight pullback in LME lead's upward trend, it ultimately closed at $2,232/mt, up by 0.65%.

Overnight, the most-traded SHFE lead 2408 contract opened at 19,520 yuan/mt. Domestic supply remained tight while import expectations persisted. After the opening, SHFE lead twice attempted to break above 19,800 yuan/mt but failed, resulting in significant fluctuations in the market. In the night session, SHFE lead gave back some of its gains and ultimately closed at 19,715 yuan/mt, up by 1.05%. Its open interest reached 92,734 lots, an increase of 4,499 lots compared to the previous trading day.