Lead highlights

摘要

Arguably, lead prices had become more over-extended than any others in the base metals complex this year. To its official price peak of dollar 1,411/tonne on February 2, three-month lead had rallied by 33 percent since the start of 2006 - far more than any other metal. At the same time, stocks had gained more than 70 percent - again, far more than any other metal. So, it was little surprise that lead had the sharpest fall in mid-February's sell-off, and that its subsequent recovery has been the most subdued. Indeed, even with the strikes in Mexico, lead has struggled to register any significant recovery. In fact, had it not been for this supportive factor, prices may have been even lower by now. Instead, prices appear to have settled into a trading range of dollar 1,150-1,235/tonne in late February and early March, though the market continues to look vulnerable to further downside moves.