Silver Prices Continue to Pull Back, Suppliers Remain Reluctant to Sell, Spot Market Premiums Hard to Decline [SMM Daily Review]

            Influenced by CME's further increase in margin requirements overnight, precious metal prices continued their sharp decline today, with sellers maintaining firm prices and holding back sales. In Shanghai, suppliers offered few premium quotes against TD, with individual suppliers holding back sales and adopting a wait-and-see attitude with premiums of 4,500-5,000 yuan/kg against TD or 3,900 yuan/kg against the 2604 contract. In Guangdong, smelters reported transactions with premiums of 3,500-3,800 yuan/mt against TD for cargoes self-picked up from production sites. However, according to purchasing traders, downstream enterprises generally adopted a wait-and-see approach today, with overall weak purchasing interest for high premiums. Market transactions were limited to small-lot deals with high premium quotes in Shenzhen, with trading volume less than 100 kg. Spot market circulation remained tight today. Despite the sharp decline in futures, the supply of circulating cargoes in the trading market was limited. Some downstream enterprises expected a post-holiday adjustment in the current premium quotes, leading to very cautious stockpiling before the holiday, resulting in overall weak market transactions.