Anticipating a hard landing, the market remains cautious, and overnight London lead briefly surged before retreating, closing with a 0.67% gain. While delivery supplies have been piling up as scheduled, increased buying interest from downstream users at lower levels is supporting Shanghai lead, ending its decline and causing it to rebound slightly, with expectations of a small rise today.
Overnight in London, lead saw a brief surge, opening at $2,074.5 per ton, reaching a high of $2,115.5, a low of $2,058.5, and closing at $2,091.5, up $14, or a 0.67% gain. Trading volume increased by 2,515 lots to 10,827 lots, while open interest decreased by 3,598 lots to 136,483 lots. In the evening, Shanghai lead’s main 2311 contract opened higher, then retreated after a strong start, closing at 16,345 yuan per ton, up 130 yuan, or a 0.80% gain.
Today’s spot lead price outlook: Bank of America indicates an increasing expectation of a hard landing, causing investors to adopt a bearish sentiment and be relatively cautious with their funds. Coupled with rising interest rate expectations due to retail data, the momentum for the strength of non-ferrous metals is weak. Despite a rapid pullback after a surge, London lead still closed with a 0.67% gain at $2,091.5. Global demand is relatively weak, and delivery supplies have been gradually entering warehouses as scheduled, accumulating lead ingot stocks, which has raised market concerns about oversupply. However, as prices continue to decline, the proactive purchasing by downstream users has helped Shanghai lead to stop its decline and rebound slightly. This might drive a rebound in spot prices today, and it is expected that spot lead will see a small increase.