LME lead trades range-bound w-o-w; inventories continue gradual decline

• Steady stock drawdowns lend mild support to market
  
  
• SHFE futures fall amid muted Chinese market sentiment
  
  

Lead prices on the London Metal Exchange (LME) traded within a narrow range in the week ended 24 April 2026, with a mixed price trend and limited overall movement. While prices showed intermittent strength during the week, the broader trend remained range-bound. Continued inventory drawdowns provided some underlying support, although market sentiment remained cautious with buying largely aligned to immediate requirements.

Price trends

The LME three-month lead contract opened at $1,959/t on 20 April and exhibited a fluctuating trend through the week.

Prices rose to a weekly high of $1,982/t on 21 April before declining to $1,952/t on 22 April. The market recovered slightly in the latter half, stabilising around $1,962/t on both 23 and 24 April.

On a w-o-w basis, prices remained largely stable, registering a marginal increase of around 0.5-1%, indicating a lack of strong directional momentum.

Overall, prices traded within a narrow band, with resistance observed around the $1,980-2,000/t range, while support was seen near the $1,940-1,950/t level.

Inventory analysis

LME lead inventories continued their downward trend during the week, declining steadily from 273,625 t on 20 April to 270,025 t by 24 April.

This marks a net drawdown of around 3,600 t, reflecting consistent outflows from exchange warehouses.

The gradual pace of inventory decline indicates steady consumption patterns, providing mild support to prices. However, the absence of sharp drawdowns suggests no immediate supply tightness, keeping the overall market balanced.

SHFE lead trends

On the Shanghai Futures Exchange (SHFE), lead prices showed a weaker trend during the week.

Prices dropped sharply from $2,526/t on 20 April to $2,401/t on 21 April and remained largely range-bound thereafter, closing at $2,402/t on 24 April.

The overall movement indicates subdued sentiment in the Chinese market, with limited recovery following the early-week decline.

MCX price movements

On the Multi Commodity Exchange (MCX), lead futures traded within a narrow range and ended marginally higher during the week.

The April 2026 contract opened at INR 194,600/t on 20 April and closed at INR 197,350/t on 24 April, registering a w-o-w gain of around 1-1.5%.

Prices moved within a range of INR 194,150/t to INR 199,000/t during the week, reflecting sideways movement with mild upward bias.

Open interest declined significantly from 490 lots at the beginning of the week to 259 lots by 24 April, indicating short covering and cautious participation.

Trading volumes remained relatively thin, suggesting limited aggressive positioning in the market.

Outlook

Lead prices are expected to remain range-bound in the near term, with support seen in the $1,940-1,950/t range and resistance around $1,980-2,000/t.

Ongoing inventory drawdowns may provide some underlying support, but subdued demand conditions and cautious market participation are likely to limit sharp upside.

The overall trend is expected to remain stable, with prices moving within a narrow band amid balanced market fundamentals.