SHFE tin prices break out of range-bound trading, with spot market transactions heating up [SMM tin futures brief comment]

Daily Review of the Most-Traded SHFE Tin Contract on May 28, 2025

Today, the most-traded SHFE tin contract (SN2507) experienced a significant decline, closing at 257,000 yuan/mt, with a daily drop of 3.15%, hitting a new low in nearly two weeks. The intraday price fluctuated sharply, reaching a high of 265,500 yuan/mt and a low of 256,800 yuan/mt. Trading volume stood at 96,332 lots, while open interest increased by 6,604 lots to 28,221 lots, with a net capital inflow of 367 million yuan. From the perspective of open interest structure, net long positions increased by 1,743 lots to 1,882 lots compared to the previous trading day, indicating that bulls' willingness to enter the market was stronger than that of bears.

In the US, inflation data for April cooled (CPI YoY at 2.3%) and Sino-US tariff negotiations were temporarily suspended, leading to a short-term rebound in market risk appetite. However, uncertainties regarding tariff negotiations after 90 days still persist, which may impose long-term pressure on demand in the electronics industry chain.

Spot Market: Today, spot transactions were relatively active. After the significant decline in tin prices in the afternoon, some enterprises made purchases at the 260,000 yuan threshold. As prices continued to decline, the procurement sentiment of downstream and end-user enterprises improved, and they began to make just-in-time procurement and small-scale restocking. Traders reported that most back-to-back pricing orders were completed by the afternoon today, with the majority of trading enterprises achieving sales exceeding one truckload, and a few reaching over 100 mt.