Lead was the worst performer among the entire base metals pack in the yesterday's trading session at the LME platform declining almost by 2%.
Broadly the lead inventories have been declining since last three months and the cancelled warrants for the commodity also suddenly surged over 35% since last week indicating immediate requirement for the commodity.
We are recommending selling Lead on a purely technical basis. However, we are bullish on the metal from a medium term perspective as Lead is one of the few commodities that is better pl aced when compared to other commodities in terms of positive fund amentals of demand and supply. The metal is in deficit of 41,000 tons for the period of January 2013 till November 2013 according to the ILZSG which is adding strength to our medium term bullishness.