SMM

According to SMM survey, the lead ingot social inventory across five major regions in China totalled 83,700 mt as of December 8, up 6,800 mt from December 1 and 6,200 mt from December 4. According to survey, maintenance and recovery of primary lead smelters coexisted. The maintenance of smelters in Henan and Yunnan has ended, while smelters in Hunan reduced and suspended production. The supply gap between the north and the south has further expanded. In addition, due to the large-scale recovery of Henan smelters, the supply of lead ingots increased. The lead consumption sector performed poorly, with downstream companies producing below capacity. In addition, lead prices continued to fall. As of December 8, SHFE lead prices had been falling for 15 consecutive days, making downstream companies more cautious in purchases. Except for the decrease in inventories in Guangdong due to reduced supply in Hunan, inventories in Jiangsu, Zhejiang and Tianjin were on the rise. This week, the delivery of the SHFE front-month contract may lead to stock accumulation.