SunSirs: The Actual Downstream Demand for Tin is Weak
May 30 2023 09:33:16
On May 29th, the benchmark price of SunSirs Tin was 199310.00 yuan/ton, a decrease of -4.89% compared to the beginning of this month (209560.00 RMB/ton).
The futures market experienced a volatile trend in the early part of this week, following the overall market fluctuations. By the night of the 24th, non-ferrous metals had generally declined, with only the Shanghai Tin Index rising 0.13%. By the end of the 25th, the main 2306 contract of Shanghai Tin Index closed at 196980 yuan/ton, with a closing price increase of 2.17%.
On the 24th, the ITA International Tin Association stated that the Ministry of Finance of the Wa State in Myanmar issued a notice on May 20, 2023, regarding the implementation of the "suspension of all mineral resource mining". The policy of ceasing all exploration, mining, processing and other operations in mines after August 1, 2023 will be implemented. After this news was released, the market raised concerns about tin ore supply in the future, and the futures market rose.
However, the recent market atmosphere has been generally negative, and demand expectations have been generally weak, resulting in limited overall market growth. From the perspective of supply and demand, there have been limited changes this week, and manufacturers still have a strong mentality of price competition. The supply at the mining end is tight but has not improved yet, and refineries have a strong reluctance to sell. The changes on the demand side are limited, and the demand is still weak. However, the recent significant rise in the semiconductor industry has given the market a certain boost. In terms of inventory, there has been a significant decline in social inventory this week, and trading has been relatively positive this week, boosted by news from Wa State.
Overall, the pattern of weak downstream actual demand continues, and the impact of supply and demand on tin prices is relatively weak.
If you have any questions, please feel free to contact SunSirs with support@sunsirs.com.
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- 2024-02-07 SunSirs: The Holiday Atmosphere Was Strong, and the Tin Ingot Market Was Operating to Be Weaker (January 29-February 5)
- 2024-01-30 SunSirs: Stocking before Holiday, Tin Ingot Market Was Upward (January 19-26)
