On July 16, tin prices declined. The transaction price range for Mysteel 1# tin ingot at 15:30 was Yuan 409,500-414,500/t, with an average price of Yuan 412,000/t, down Yuan 5,000/t DoD. In terms of market trading, some downstream enterprises made need-based purchases, but overall buying appetite remained sluggish. End-user companies largely stayed on the sidelines, leading to a slight drop in orders. Overall, spot trading in the tin ingot market was rather quiet. Looking ahead, after the softer U.S. June CPI reading, the PPI data released on Wednesday also came in below expectations across the board. The decline in energy prices was the core driver of cooling inflation in June, cooling market expectations for Fed rate hikes. A retreat in the U.S. dollar index may provide some support for tin prices. Fundamentally, raw material supply disruptions are lending support to tin prices, but the off-season for consumption has kept enterprises' tin ingot procurement demand weak, thereby weighing on prices. Amid the mix of bullish and bearish factors, tin prices are expected to fluctuate widely in the short term. Attention needs to be paid to the impact of U.S.-Iran geopolitical tensions on energy prices, as well as raw material supply and the recovery of consumption in the Chinese market.
