Rising storage and logistics costs sent the US lead premium to an all-time high on Tuesday June 8, while Chinese zinc market participants expect domestic supply to rebound when the Yunnan government ends the cap on power consumption for manufacturing in three weeks.
The US 99.97% lead premium reached a new record high, supported by rising logistics costs. Power limits in China are due to end by July, leading to an expected zinc supply rebound. Another major zinc producing country, Peru, awaits the outcome of Sunday's presidential election run-off that could impact the landscape of zinc mining significantly. London Metal Exchange on-warrant lead stock has dropped by 17.6% since the beginning of this month to 64,775 tonnes on June 9. It is at the lowest level in three months. US lead premium at record high on supply tightness, higher costs
The US lead premium for 99.97% material inched up to its highest level on Fastmarkets records on Tuesday amid higher reported spot business and very tight supply.
Fastmarkets assessed the lead 99.97% ingot premium, ddp Midwest US at 14.50-16.50 cents per lb, up from 14-16 cents per lb and an all-time...