SHANGHAI, Jul. 7 (SMM) –In Shanghai spot tin market, falling SHFE tin caused mainstream traded prices to fall to RMB 112,000-113,500/mt on July 6. Jinlong brand tin traded as low as RMB 111,500-117,000/mt due to new arrvials, but such cheap goods were quickly sold out. Goods from Yunnan Tin Group traded at RMB 113,000-114,000/mt.
SMM surveyed market players in domestic tin industry.
40% of them expect tin prices to hold stable this week: LME and SHFE tin prices are hovering at lows, and chances are small for sharp declines in the short term. Falling output at tin smelters in China will help spot prices stabilize.
The rest 60% are bearish: Plunging Chinese stock market and Greek debt crisis will dampen investor sentiment. So, LME tin should test support at USD 13,800/mt, and SHFE 1509 tin should look for support at RMB 106,000/mt. Poor demand will cause tin prices in domestic spot market to drop to RMB 111,500-113,500/mt.