Global lead short-term outlook November 2020

The lead price surged ahead of the base metals pack in November as fund managers turned bullish on this usually less-fancied metal. Relative value trading prompted a spate of short-covering to add impetus to a price which already carried momentum from optimism generated by new Covid-19 vaccines and signs of a sustained economic recovery in China. Global automotive production was regaining traction to add strength to seemingly relentless demand for auto replacement batteries in North America and Europe. A mine accident in South Africa reminded markets of primary output vulnerabilities but otherwise the supply situation was little different and TCs unchanged.