The weekly Davis Index for US lead scrap delivered US consumer declined by 5¢, as demand from the automotive sector dried up.
The index for US whole undrained batteries declined by 2¢ on Wednesday to 35¢/lb, as US automakers took cues from their European and Asian counterparts and began exploring operational shutdowns in an effort to curb COVID-19’s spread.
The automotive sector is a major lead consumer, but with the sector’s dwindling demand, lead scrap prices have also decreased. The Davis Index for heavy soft lead dropped by 5¢ to 65¢/lb delivered, while the index for mixed hard lead followed with a 4¢ decline to 64¢/lb delivered on Wednesday.
The three-month official LME lead contract closed Wednesday at $1,655.5/mt, declining by more than $140/mt from $1,797/mt on March 11 as demand for the metal slipped in an uncertain global market.