Continued tin flows onto the London Metal Exchange, up 50% this month, exerted downward pressure on global premiums in the week to Tuesday June 25.
An eroding backwardation in exchange forward spreads makes stockholders uncertain whether to hold or sell tin. US premium holds, but reports of declining demand echo other regions. China premium unchanged with no incentive for traders to import tin. Stock availability pushes Rotterdam premium lower In Europe, Fastmarkets assessed the premium for 99.9% standard-grade tin ingot with 300ppm lead content, on an in-warehouse Rotterdam basis, at $380-430 per tonne on Tuesday, down by around 6% week on week to its lowest level since November 2018 and marking the premium's first move since April 2019. Physical participants are now reporting easing conditions for spot business in tin, with forward spreads easing and the nearby tomorrow/next spread - which reflects the cost of rolling a short position overnight - less volatile, while the metal's London Metal Exchange three-month price continues to trade below the $19,000 per tonne threshold. "Physical demand is still patchy,...