Middle East tensions resurfaced, the center of the SHFE tin contract continued to decline to around 390,000 [SMM Tin Midday Review]

Tin Midday Commentary, June 10, 2026

The most-traded SHFE tin contract opened at 409,000 yuan/mt, with its morning center moving lower, and closed the morning at 394,000 yuan/mt, down 1.89%. LME tin’s center also slipped, currently at $51,705/mt, down 0.92%.

On the macro front:

(1) The Middle East situation has remained tense in recent days, with Israel and Iran launching cross-border strikes against each other, and US forces have also been involved in military operations against Iran. Iran conducted targeted attacks on the US base in Jordan, and the regional military standoff continues.

(2) According to the National Bureau of Statistics (NBS), China's consumer price index (CPI) rose 1.2% YoY in May 2026, but fell 0.1% MoM. The core CPI, excluding food and energy prices, rose 1.1% YoY, and the consumer market was generally stable. The producer price index (PPI) rose 3.9% YoY and 0.5% MoM, driven by recovering demand in some domestic sectors, the transmission of international commodity price fluctuations, and rising computing power needs that lifted non-ferrous metals and related sectors. Industrial product prices continued their upward trend.

This morning, overall trading in the spot market was mild, with downstream enterprises adopting a "buy a little on dips, and buy more on further declines" band-style purchasing mentality. As absolute prices fell from elevated levels, no large-scale deals were seen in the spot market; downstream players remained wait-and-see towards current prices, mainly following with small orders. Suppliers maintained a steady selling pace, and spot premium quotes for mainstream brands moved sideways in a narrow range.

In summary, weighed by fatigued sentiment from the prolonged geopolitical conflict and the cap on metal prices from the US Fed’s tightening expectations, metal prices fell across the board. Profits were taken off the table earlier, leading to a swift correction in the futures. Given the consecutive declines in the futures, the center may see a potential technical rebound.