According to an SMM survey, as of July 11, the total social inventory of lead ingots in the five major regions was 65,900 mt, up 4,300 mt from July 4 and up 2,100 mt from July 8.
According to the survey, with only two working days left until the delivery of the SHFE lead 2407 contract, holders gradually transferred their supplies to delivery warehouses, leading to an expected increase in social inventory of lead ingots. Currently, primary and secondary lead supply is relatively tight, especially in Anhui, where most secondary lead smelters are in a state of reduced or halted production, and some delivery brand companies are also undergoing maintenance, resulting in limited circulating supply in the spot market. Based on the open interest of the SHFE lead 2407 contract, the estimated delivery volume of lead ingots is expected to exceed 30,000 mt. As the delivery date approaches, lead ingots are likely to continue transferring to delivery warehouses, turning into social inventory.
