Silver Prices Fluctuated Downward, Downstream End-Users Bought the Dip with Moderate Transaction Volume [SMM Daily Review]

Silver prices experienced a slight correction today. The spot-futures price spread against the TD - the most-traded SHFE silver 2512 contract narrowed to 20-30 yuan/kg. End-user procurement enthusiasm improved slightly after silver prices weakened. In Shanghai, suppliers quoted and traded at a premium of 40-45 yuan/kg against TD or a premium of 5-15 yuan/kg against the SHFE silver 2512 contract. Some silver ingot suppliers in the market held prices firm and were reluctant to sell, with limited transactions concluded at a premium of 50-60 yuan/kg against TD or a premium of 15-20 yuan/kg against the SHFE silver 2512 contract. Spot market supply remained tight. Some silver nitrate enterprises passed the premium for spot silver ingots downstream to silver powder and silver paste manufacturers to share the cost. Downstream buyers primarily made just-in-time procurement, and market transactions improved slightly.