July 10, 2026 SMM Tin Morning Update:
The most-traded SHFE tin 2608 contract consolidated at highs during the night session, trading around 415,000 yuan/mt.
Macro:
(1) Bank of America analysts said Comet Holding's sales are expected to grow rapidly by the end of 2028, benefiting from the expansion of memory chip production capacity. The Switzerland-based Comet produces parts used in memory chip manufacturing. As companies respond to AI-driven demand and build new memory chip plants, Comet stands to benefit given its significant capacity to handle new orders. BofA raised its revenue and margin expectations for Comet's profitability by the end of 2028. Comet shares led the gains among Stoxx Europe 600 constituents, rising nearly 12%.
(2) GRINM Semiconductor Materials issued a trading anomaly announcement: The company is acquiring a 60% stake in Anhui Jinglong Semiconductor Technology Co., Ltd. through open bidding. As of the disclosure date of this announcement, the company has signed the Property Rights Transaction Contract with Chuzhou Nanqiao District State-owned Assets Operation Co., Ltd. and completed the relevant payments. Jinglong Semiconductor's existing capacity is relatively small and has yet to achieve economies of scale; there is uncertainty regarding subsequent capacity expansion and economic benefits. Coupled with industry cycle fluctuations, changes in market conditions, and operational management levels, there are risks that revenue and profitability may fall short of expectations.
Fundamentals: (1) Supply side: The tin ore tightness has not been resolved, but signs of marginal improvement are increasing. In July, most smelters are focusing on stable production. (2) Demand side: The traditional off-season effect is deepening, with rigid demand support coexisting with high price suppression. Downstream procurement remains cautious, with purchases made based on order situations.
Spot market: High prices in the spot segment are exerting obvious suppression. Although downstream consumption sectors such as solder and semiconductors are on a steady recovery path, fear of high prices is pronounced. Most enterprises remain on the sidelines, restocking only as needed in small volumes, leading to overall mediocre trading performance.
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