Secondary lead ingot prices in Mumbai fell on Wednesday from the prior week amid a drop in LME levels. The offers in Mumbai came down as the official three-month LME lead contract dipped by $32/mt to $2,022/mt on Tuesday over the week.
The weekly Davis Index for lead batteries (drained) Mumbai stood at Rs90,033/mt ($1,235/mt) del consumer, down by Rs1,817/mt. The spread for the index widened by 0.49pc which means markets weakened for the grade.
Prices of secondary lead ingot also dipped in line with raw material scrap prices. The weekly Davis Index for secondary lead ingot in Mumbai dipped by Rs2,167/mt to Rs152,333/mt ex-works producer. Markets strengthened in terms of spread. For the secondary lead ingot index, spread widened by 0.12pc from the prior week.
In Delhi, the weekly index for lead batteries (drained) settled at Rs90,033/mt del consumer, up by Rs948/mt, while spreads narrowed by 1.36pc from the previous week — indicating a strengthened market. The weekly Index for secondary lead ingot in Delhi settled at Rs152,333/mt ex-works producer, up by Rs731/mt. Manufacturers did not lower their offers on Wednesday but may reduce in the coming days. Markets for the grade strengthened as spreads for the index widened by 2.10pc.
Demand is firm with no major change in market dynamics. Prices were down in Mumbai solely because LME is down. Price increases were all speculative while demand was always firm but LME levels made manufacturers hike their prices. Delhi markets are usually the last to lower offers, shared traders. If LME continues to dip, Delhi prices should follow suit.
($1 = Rs72.9)