Both bulls and bears in SHFE tin market engaged in a tug-of-war around the 260,000 mark, while trading in the spot market was sluggish [[SMM Tin Midday Review]]

Lunchtime Commentary on the Most-Traded SHFE Tin Contract on May 9, 2025​​

The most-traded SHFE tin contract (SN2506) opened at 262,500 yuan/mt, slightly higher than the previous trading day's closing price of 261,480 yuan/mt. The price fluctuated within a range during the session. Non-ferrous metals were under pressure in the morning session, and the contract closed at 259,980 yuan/mt at midday, down 0.26% intraday. Trading volume and open interest decreased slightly, with a strong wait-and-see sentiment prevailing in the market.

​​LME Tin Struggles to Rebound​​: Overnight, LME tin closed at $31,705/mt. The price spread between domestic and overseas markets narrowed to a historical low, but weak domestic demand limited the upward momentum. This indicated tightening liquidity in overseas inventories, yet unreported inventory pressure persisted.

​​Macro Funds Battle Intensifies​​: High-level Sino-US economic and trade talks signaled short-term easing, but the US Fed's hawkish stance and Trump's fluctuating tariff policies heightened market risk aversion. Bulls and bears in the SHFE tin market engaged in a tug-of-war around the 260,000 yuan/mt threshold.

Tariffs-①UK-US Trade Agreement: Maintained a 10% base tariff on the UK, expanded market access for both sides, eliminated tariffs on UK steel and aluminum, applied a zero-tariff policy on US agricultural products, and implemented a tiered tariff on UK automobile imports. ②US Trade Representative: Potential enforcement actions on imported services may be necessary. ③Trump: The UK agreed to a $10 billion Boeing aircraft procurement deal. ④US Commerce Secretary: Focused on the next major economy, hoping to reach a trade agreement with a major Asian economy. ⑤EU: Proposed additional tariffs on $95 billion worth of US products if negotiations falter. ⑥Indian Official: The free trade agreement with the UK will be signed in three months.