SHANGHAI, Jun. 16 (SMM) – SHFE 1507 tin contract prices started at RMB 113,410/mt during night session last Friday and fell to RMB 113,410/mt. The prices then rose back to end at RMB 113,540/mt, up RMB 130/mt.
The most active SHFE tin contract opened at RMB 113,390/mt on Monday and moved around RMB 113,450/mt in the morning. SHFE tin prices fell to RMB 113,100/mt around 14:00 and closed the daytime trading at RMB 113,160/mt, down RMB 540/mt. Positions declined to 3,794 and trading volumes fell by 1,876 lots to 1,276 lots.
In China’s spot tin market, prices fell to RMB 112,800-114,500/mt on Monday. A few goods of Nanshan and Jinlong traded at RMB 112,500/mt. Limited supply and low buying interest among downstream producers left trades muted.
As for tin price outlook this week, 65% of market players surveyed by SMM are bearish that LME tin will test USD 14,400/mt and SHFE tin will fall to RMB 112,500/mt. These players based their opinions on growing caution resulting from uncertainty over the Fed’s interest rate hike and a lack of trading.
35% of them see tin prices to stabilize citing technical support. The limited trading volumes on futures market will limit both gains and losses of tin prices. In addition, tin smelters will refrain from selling against continuous price falls, which may help bolster prices. Supply has tightened in some regions. Thus, some players expect LME tin to stabilize at USD 15,000/mt and spot tin prices at RMB 113,000/mt.