Silver prices hold up well, spot-futures price spread widens, spot market trading remains sluggish [SMM Daily Review]

Precious metal prices held up well during the day, with the spot-futures price spread of the most-traded SHFE silver 2602 contract widening. In the spot market, suppliers' premium quotations rose slightly compared to the previous day. In Shanghai, suppliers of national standard silver ingots were reluctant to sell and adopted a wait-and-see attitude, with mainstream quotations at premiums of 40 yuan/kg against TD or 20 yuan/kg against the SHFE silver 2512 contract. However, downstream acceptance was poor, resulting in thin trading. Silver prices have rebounded for several consecutive days, yet downstream end-users continued to focus on just-in-time procurement. Although quotations in the trading market increased, premiums remained difficult to reduce. Some downstream enterprises still locked in premiums in advance and booked silver ingot supplies with smelters for delivery next week or further out to ensure production. Overall spot trading remained thin.