SHANGHAI, Apr. 9 (SMM) – In Shanghai tin market, spot prices were mainly between RMB 148,500-150,500/mt on Monday. Yunxi was traded between RMB 150,000-150,500/mt, and Yunheng was traded at RMB 149,500/mt. Traded prices for Yunxiang and Kaiyuan were between RMB 148,500-149,000/mt, with mainstream traded prices down from the previous trading day on the whole. Transactions improve slightly, as downstream buyers and traders were more willing to purchase. Output at Jiangxi’s smelters will be negatively affected recently due to environmental protection inspection, but investors believe this will give little support to tin prices.
SMM survey shows that 60% market players believe domestic spot tin prices will hold steady this week, noting LME tin prices may keep fluctuating. In this context, they expect spot tin prices to stabilize between RMB 148,000-150,000/mt. The environmental protection inspection in Jiangxi province will limit output of local smelters, curtailing low-priced goods in the market, while unabated raw material prices will place cost pressure on smelters, benefitting spot tin prices. However, the depressed demand will constrain upward trend in prices.
The remaining 40% market players expect spot tin prices may fall this week, with LME tin prices meeting strong resistance at USD 23,100/mt. Spot tin prices may continued to fall if LME tin prices fail to break through the resistance against the numerous risk events. Besides, the oversupply and anemic demand in spot tin market may also weigh down prices.