SHANGHAI, May 29 (SMM) – In Shanghai tin market, transactions remained modest Monday as LME tin prices failed to rally and market players held a wait-and-see attitude. Goods circulating in the market were limited. Mainstream traded prices for Nanshan, Kaiyuan, Jinlong, and Yunxiang were at around RMB 154,500/mt, while most transactions for Yunxi and Yunheng were made between RMB 155,000-155,500/mt. Buying interest downstream was still low. In the afternoon, transactions were quiet, but some seller reflected LME tin prices improved and goods at prices below RMB 154,500/mt were rare.
Regarding to tin price movements this week, 60% of market players believe tin prices will follow a stable trend this week, since the slight rebound in LME tin prices and fewer goods circulating in the market will help support domestic tin prices, but the sluggish demand downstream will limit the increase in tin prices.
30% of market players hold that tin prices are likely to fall this week. LME tin prices, although rallied marginally, still move weakly with resistance at USD 20,000/mt, so risk still exists for LME tin prices to fall. Coupled with the remaining depressed demand downstream, decline in spot tin prices is possible.
The remaining 10% expects tin prices to move up this week on account of the probable further increase of LME tin prices and limited supply in spot market.