Tin prices rose on August 12. In market trading, traders reported generally mediocre sales as prices climbed, with some making no sales at all. Downstream buyers purchased only for essential needs, while strong wait-and-see sentiment prevailed at high prices. End-user orders remained weak. Overall, spot trading was subdued. From a macro perspective, although inflation remains clearly above the 2% target, the U.S. July CPI data came in moderate and in line with market expectations, cooling expectations for rate hikes. Overnight tin prices opened higher but then pulled back, while holding at relatively high levels overall. Going forward, the cooling of the energy-driven inflation rebound is expected to keep the USD index low in the near term, which should support tin prices. Fundamentally, raw material supply disruptions remain supportive for tin prices, but slowing consumption is a drag. Overall, tin prices are expected to remain volatile at high levels in the near term.
