SMM, December 30: In the Shanghai market, Chihong lead was quoted at 16,925-16,980 yuan/mt, with a premium of 150-180 yuan/mt against the SHFE lead 2502 contract. In the Jiangsu and Zhejiang regions, Tongguan and JCC lead were quoted at 16,825-16,900 yuan/mt, with a premium of 50-100 yuan/mt against the SHFE lead 2502 contract. The trading center of SHFE lead continued to decline. Suppliers stood firm on quotes while delivering goods, with premiums generally raised compared to last Friday. Smelters had limited supply, either refraining from offering or standing firm on quotes. A few smelters lowered premiums (against the SMM 1# lead average price) to clear inventory at year-end. Meanwhile, downstream enterprises remained cautious and adopted a wait-and-see approach, leading to sluggish spot order transactions.
Other markets: Today, the SMM 1# lead price dropped by 225 yuan/mt compared to the previous trading day, with market transactions remaining sluggish. In Henan, spot premiums against the SMM 1# lead price held steady at 50-100 yuan/mt or a premium of 80 yuan/mt against the SHFE lead 2402 contract. In Hunan and Yunnan, smelters had extremely limited circulating supply, with manufacturers halting quotes after depleting inventories. In Yunnan, the small remaining inventory was still offered at a premium of 300 yuan/mt against the SMM 1# lead price, with sellers reluctant to sell. In Guangdong, smelters slightly lowered premiums as they cleared inventory at year-end. Circulating supply of primary lead remained tight in certain regions. As year-end approached, downstream purchasing enthusiasm also declined, with some enterprises closing accounts and suspending transactions. Market trading volumes shrank, and both upstream and downstream participants exhibited strong wait-and-see sentiment near year-end.
