Low-level restocking combined with pre-holiday stocking led to a significant drop in social inventory of tin ingots [SMM Analysis]

According to the SMM survey, this week, the SHFE tin market experienced a notable jump initially and then pull back. Prices started at 258,000 yuan/mt at the beginning of the week, rose slightly to reach a weekly high of 263,000 yuan/mt during the Tuesday night session, and then continued to fall, hitting a low of 253,000 yuan/mt, with a slight rebound by Friday. In the spot market, as the National Day holiday approaches, most downstream and end-user companies had stocking needs, but the high prices at the beginning of the week suppressed market activity. As SHFE tin prices continued to decline mid-week, downstream and end-user companies were motivated to restock and prepare for the holiday, creating a very active trading atmosphere in the spot market, with some trading companies nearly clearing their inventories. Overall, the spot market was active this week, with downstream companies actively purchasing.