SHANGHAI, Jul. 30 (SMM) – Mainstream traded prices in Shanghai spot tin market fell to RMB 134,500-136,500/mt on Monday, since resources from Jiangxi increased, dragging down overall prices. Despite the stable LME tin prices, the supply glut and soft consumption in domestic markets left China’s spot tin prices falling.
With respect to tin price trends this week, 60% of market players surveyed by SMM believe spot tin prices will keep falling. The LME tin hovering around USD 19,500/mt for over two weeks and technical declines in other base metals last Friday lead most investors to believe LME tin will stage a clear downward trend recently. In domestic spot markets, tin prices have been falling since last week with low-priced goods increasing and consumption remaining sluggish. In this context, many expect spot tin prices to drop further should LME tin remain at the current level or show any decline.
The remaining 40% investors expect spot tin prices to stabilize this week, saying that LME tin prices may make a breakthrough in the near term, which should give certain support to spot prices. As spot tin prices have experienced continuous falls last week, prices may possibly stabilize if LME tin prices hold steady and smelters refuse to offer lower prices.