Lunxi hit an all-time high with the largest spot increase of 191%. Can the weak pattern of supply and demand be broken? [SMM Quick Review]

SMM3 March 4: take turns? A few days ago, Shanghai and tin continued to refresh their high positions. Recently, Lunxi took the stage, and Shanghai and tin moved forward steadily. Today, Lunxi set an all-time intraday high of US $46700 a tonne, up 0.73 per cent as of 11:40, while Shanghai Tin underperformed Lunxi, up 0.25 per cent.

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Spot market

The average spot price of SMM1# tin today is 342250 yuan / ton, a record high since SMM statistics. As can be seen from the trend chart, the average price was the lowest on March 23, 2020, with an increase of 191% today.

"check the spot historical price of SMM tin products

According to SMM analysis, the falling volatility of Shanghai and Wuxi Chonggao narrowed, and the total amount of funds changed little.

Fundamentals, inventories at home and abroad remain stable, the difficult situation of shipping in the spot market has not been significantly alleviated, non-deliverable brand discount shipping has become the norm in the recent market.

To sum up, SMM believes that the weak pattern of supply and demand is difficult to reverse in the short term, and the dynamic balance of supply and demand superimposes the cooling of market capital heat, which makes the tin price trend more likely to maintain a high horizontal market.