Brief Review of Spot Market and China Inventory (May 28, 2026) [SMM Silver Market Weekly Review]

This week, the price spread between the SGE TD price and the SHFE August contract mostly hovered around 50 yuan/kg. As of Thursday, mainstream quotations for national-standard silver ingots in the Shanghai market against TD maintained a slight discount range, but the discount narrowed WoW. Most transaction quotations narrowed to a discount of 30-0 yuan/kg against SGE TD. Some downstream enterprises, lacking input tax invoice allowances, could accept small quantities at higher quotations, with overall transactions leaning toward the average of low-end prices. Overall market consumption remained sluggish. Some suppliers also had low willingness to sell due to tax invoice issues and the approaching month-end, presenting a sluggish trading atmosphere on both sides. The discount for a few non-delivery brands in the Shenzhen area also narrowed in tandem. Inventory side, the decline in silver prices did not significantly boost downstream consumption. Market sentiment was extremely cautious, and social inventory of silver ingots in Shanghai and Shenzhen continued to accumulate.