SMM Tin Market Morning Review (2015-8-13)

Published: Aug 13, 2015 09:42

Save

LME tin opened at USD 15,445/mt on Wednesday.

SHANGHAI, Aug. 13 (SMM) –LME tin opened at USD 15,445/mt on Wednesday. The metal touched day’s high of USD 15,450/mt and day’s low of USD 14,770/mt before closing down USD 145/mt at USD 15,105/mt. Trading volumes were up 175 lots to 369 lots, and positions were up 172 to 21,732. Inventories fell 330 mt to 6,300 mt. Depreciation of Chinese yuan and downbeat Chinese economic data triggered concerns over metal demand in the world’s second largest economy. This caused LME tin to fall. LME tin recovered some losses later as an US Fed official said that devaluation of Chinese currency could affect timing for US interest rate hike. LME tin should move violently and test support at USD 15,000/mt on Thursday amid depreciation of Chinese yuan and uncertainty over timing for US interest rate hike.

SHFE 1509 tin contract should range RMB 107,000-109,000/mt. In Shanghai spot market, mainstream traded prices are expected to hold stable between RMB 107,500-110,000/mt.

Sn price LME tin prices Shanghai tin prices

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

24 mins ago

Imported and domestic copper both arrive, Shanghai spot copper premiums continue to fall under pressure [SMM Shanghai spot copper]

[SMM Shanghai Spot Copper] Looking ahead to tomorrow, the SHFE copper 2609 contract will enter its last trading day. During the day, some suppliers have already attempted to quote against the October contract, offering standard-quality copper at a premium of about 700 yuan/mt. As of September 14, SMM social inventory of copper cathode in major domestic regions stood at 90,300 mt, up 5,200 mt WoW from Monday and up 2,800 mt from last Thursday, but down 63,900 mt YoY. In Shanghai, copper prices pulled back notably last Friday. Although downstream buyers actively fixed prices, cargo pick-up was not fully realized. Combined with small arrivals of imported and domestic cargoes, inventory saw some buildup. In Jiangsu, consumption improved on the copper price correction, leading to slight destocking. Tomorrow, suppliers are expected to quote high premiums against the October contract. However, since SMM consistently quotes against the front-month contract, after adjusting for the price spread between futures contracts, quotes are expected to show a slight discount, which will be corrected on the following day.

24 mins ago

2 hours ago

Price spread between futures contracts once exceeded 800 yuan; downstream purchases were quiet, and spot premiums fell sharply [SMM South China spot copper]

2 hours ago

3 hours ago

Wider price spread between futures contracts drags down purchases; spot discounts in North China expand [SMM North China spot copper]

In North China today, spot #1 copper cathode against the front-month contract was quoted at a discount of 200-120 yuan/mt, with an average discount of 160 yuan/mt, down 70 yuan/mt from the previous trading day. The average transaction price was 108,745 yuan/mt, down 3,155 yuan/mt from the previous trading day.

3 hours ago