Market Sentiment Boosted by Interest Rate Cut Expectations, US Dollar Dives, Lead Futures Rise

Market expectations for interest rate cuts have surged, leading to a significant decline in the US dollar and an upward movement in lead futures. Last week on Friday, LME lead prices opened at $1,970 per metric ton, experiencing fluctuations during the Asian and European trading sessions. After reaching a low of $1,961, prices rebounded, influenced by unexpectedly weak non-farm payroll data and the subsequent firing of the Bureau of Labor Statistics head by President Trump. These events fueled speculation of an imminent interest rate reduction, causing the US dollar index to plunge and easing pressure on lead prices. The metal closed at $1,974 per ton, marking a 0.23% increase. Meanwhile, the most-traded SHFE lead contract opened at 16,780 yuan per ton, briefly peaked at 16,830 yuan, and closed at 16,775 yuan, up 0.69%. The fundamentals for lead indicate an anticipated rise in both supply and demand. However, falling lead prices have widened losses for secondary lead producers, dampening their willingness to ship goods and causing secondary lead prices to invert relative to primary lead. As downstream buyers turn toward primary lead, inventories for primary lead firms decrease. Ma...