Global lead short-term outlook September 2020

Coronavirus-related mine disruption is persisting and current - and feared future - shortfalls of concentrate have pushed spot TCs decisively lower during September. While this is clearly positive for wider lead market fundamentals, particularly given the obvious potential for forced primary smelter cuts, lead's price has decreased decisively during the month. This is indicative of the market's surplus, which continues to be reflected a little by LME stocks, and confirms that lead consumption has contracted significantly in 2020 alongside a substantially weaker global economy.