The Most-Traded Contract's Center Pulled Back, Recording a 5% Decline, Spot Market Trading Recovered [SMM Tin Brief]

Jun 5, 2026 Tin Daily Review

This morning, tin market futures both in and outside China fluctuated downward, with the price center weakening significantly.The most-traded SHFE tin contractopened at 433,040 yuan/mt in the morning session and closed at 417,850 yuan/mt, down 5.35%.On the LME side,it weakened in tandem, with three-month LME tin temporarily reported at $54,115/mt, down 3.28%.

On the macro front:

(1) The People's Bank of China announced that, to maintain ample liquidity in the banking system, it conducted 500 billion yuan of outright reverse repo operations on June 5, 2026, with a three-month tenor maturing on September 5, 2026, via a fixed-quantity, rate-tender, multiple-price bidding method.

(2) Trump: He is at the final negotiation stage to end the Iran war. If Iran kills U.S. troops, it would be sufficient reason to restart the conflict; Trump also told mediators that he refuses to release funds to Iran before an agreement is signed.

In the spot market,amid the notable pullback in futures, the atmosphere, which had been continuously suppressed by high prices, recovered. As the most-traded SHFE tin contract price fell below the 420,000 yuan/mt mark, downstream enterprises that had been on the sidelines began to release their essential orders.

Overall, the most-traded SHFE tin contract is expected to mainly move sideways in the near term. On the macro front, attention should continue to be paid to the final signing progress of geopolitical agreements outside China and the sustained guidance of domestic liquidity injection on market risk appetite.