Spot lead continues to fluctuate and pull back, with lackluster market trading [SMM Refined Lead Spot Market Weekly Review]

In the spot market, lead prices fluctuated downward this week (June 8-12), initially dropping before rebounding slightly and then pulling back. The SMM #1 lead average price fell 200 yuan/mt cumulatively. Downstream enterprises made only just-in-time procurement, with overall purchase willingness remaining weak.

Regionally, Henan smelters primarily delivered against long-term contracts, with traders' discount against the SHFE lead 2607 contract gradually narrowing from 130-110 yuan/mt to 30-0 yuan/mt. Hunan quotes shifted from a discount of 25-0 yuan/mt to a premium of 10-30 yuan/mt, reflecting a strengthening sentiment to hold prices firm. In Jiangxi and Anhui, premiums rose from 100-120 yuan/mt to 120-200 yuan/mt, with firm offer levels. Tianjin spot cargoes traded at a persistent discount of 120-80 yuan/mt, with sluggish transactions. Approaching the mid-year point, some merchants cut prices to clear inventory, while some enterprises holding limited cargoes held back from selling. Downstream enterprises prioritized capital recovery and reduced stockpiling, leaving overall market trading mediocre.