Lead rises & Zinc falls

MCX Lead rises by 0.37% on upbeat demand outlook

Lead prices rose by 0.37 per cent on Wednesday at the domestic markets as optimism among small businesses in the US surged to the highest level in a year in May 2013, signaling an upbeat outlook for the world’s biggest economy which raised the demand outlook for the commodity. The National Federation of Independent Business optimism gauge rose to 94.4 last month from 92.1 in April 2013. At the MCX, Lead futures, for the June 2013 contract, is trading at Rs 123.20 per kg, up by 0.37 per cent, after opening at Rs 122.40, against a previous close of Rs 122.75. It touched an intra-day high of Rs 123.85 till the trading.  Sentiment improved further as a result of strong demand for the commodity from battery-maker in the spot market in the midst of a good overseas trend. However, gains were curbed due to the surge in the lead stockpiles at the London Metal Exchange (LME) on account of the weak demand for the commodity. LME lead stocks rose by 7025 metric tonnes to 200325 metric tonnes as on June 12, 2013.

MCX  Zinc falls by 0.47% on weak China demand outlook

MCX Zinc prices fell by 0.47 per cent on Wednesday at the domestic markets as lingering concerns over slowing economic growth in China, the world’s second biggest economy, also signaled a gloomy demand outlook for the metal. Recent data showed a slump in China’s export growth and a decline in imports in May while industrial output and fixed-asset investment growth slowed. Zinc futures for June 2013 contract, at MCX, were trading at Rs. 106.30 per kg, down by 0.47 per cent after opening at Rs. 106.80 against the previous closing price of Rs. 106.80. It touched the intra-day low of Rs. 106 till the trading. However, losses were curbed due to the decline in the zinc stockpiles at the London Metal Exchange (LME) on account of the strong demand for the commodity. LME zinc stocks fell by 10075 metric tonnes to 1096250 metric tonnes as on June 12, 2013. Major refined zinc exporting countries are Canada, Australia and Rep. of Korea, while major refined zinc importing countries are China, USA and Germany.