- Market softens amid steady inventories and cautious buying
- MCX lead trades marginally higher; SHFE prices trend lower
Lead prices on the London Metal Exchange (LME) moved lower in the week ended 13 March 2026, as selling pressure weighed on the market toward the end of the week. Prices hovered near the $1,890-1,900/t range during most sessions but slipped below the $1,900/t level by Friday amid subdued buying interest.
The three-month contract also weakened slightly during the week, reflecting cautious sentiment in the broader base metals complex.
Price trends
LME cash lead opened at $1,894.5/t on 9 March and traded within a narrow range through the week before declining to $1,880/t by 13 March.
Compared with $1,900/t on 6 March, cash prices registered a decline of about 1% w-o-w, reflecting mild downward pressure as the market struggled to sustain early stability.
The three-month contract followed a similar trend. Prices started the week at $1,937/t, fluctuated during mid-week, and eventually eased to $1,930.5/t by Friday.
The contract briefly rose to $1,943/t on 12 March, but the inability to maintain gains signalled limited bullish momentum and continued cautious trading sentiment.
Inventory analysis
LME lead inventories remained largely stable during the week, with only a marginal decline recorded.
Stocks stood at 284,875 t at the beginning of the week and edged slightly lower to 284,500 t by 13 March, reflecting a modest drawdown of 375 t.
The limited movement in visible inventories suggests that supply conditions remain broadly balanced. While the small decline indicates ongoing consumption, the absence of significant stock reductions continues to restrain stronger price recovery.
SHFE lead trends
On the Shanghai Futures Exchange (SHFE), lead prices showed a gradual downward trend throughout the week.
Prices were assessed at $2,404/t on 9 March and declined steadily to $2,382/t by 13 March.
The softening trend in Shanghai mirrored global sentiment, indicating cautious demand conditions in the Chinese domestic market with limited upward momentum.
MCX price movements
On the Multi Commodity Exchange of India (MCX), the April 2026 lead contract remained largely stable during the week.
Prices were recorded at around INR 189,500/t for most sessions, before rising slightly to INR 190,750/t on 13 March.
Trading activity remained subdued, with limited volumes recorded during the week. Open interest stayed relatively stable at around 3 lots, indicating minimal fresh positioning in the contract.
Despite the muted trading activity, domestic futures prices held relatively steady, supported by stable demand conditions and currency movements.
Outlook
Lead prices are likely to remain range-bound in the near term, with $1,850-1,880/t emerging as an immediate support band while $1,930-1,950/t may act as the key resistance zone.
Stable LME inventories and softer price trends on the SHFE indicate balanced market fundamentals, with neither strong supply tightening nor significant demand recovery evident at present.
In the absence of stronger signals from the battery sector or sharper inventory drawdowns, prices may continue to trade within the existing range, with buying interest likely to emerge on dips while rallies face resistance near the upper levels.
Leave a Reply