Tin Prices Continued Moving Downwards - icdx.co.id
  • In a week (06/08 – 10/08) the price of ICDX’s Tin moved down 0.88%.
  • Price range between $19,600 - $19,850.
  • Highest volatility reached 0.36%

Market Review

The decline may be due to a slowdown in manufacturing as China's Caixin Services PMI on Jul moved down to 52.8 from its previous 53.9, Producer Price Index on Jul was down to 4.6% from its previous 4.7%. Japan's Market Services PMI on Jul moved down to 51.3 from its previous 51.4, Leading Economic Index on Jun moved down to 105.2 from its previous 106.9, Machine Orders on Jun was down to 0.3% from its previous 16.5%. Uni Europa's Markit Services PMI on Jul moved down to 54.2 from its previous 54.4, German Industrial Production on Jun was down to -0.9% from its previous 2.6%.

The Trump administration has asked its trade authorities to consider a 25% import duty rate on Chinese minerals rather than the 10% rate it officially proposed in July. This new tariff will be effective on Aug 23. In response to this policy, The Chinese Ministry of Commerce announced that they too would implement tariffs on approximately $16 billion in products. They said that the new list of products that would be hit with the 25% tariffs would be implemented in parallel to the U.S. action.

Meanwhile, PT Timah Tbk – the largest Indonesian tin producer – estimated a rise in their annual production by 2.64% to 32,000 ton by the end of 2018.

Chart Timah Turun 180813 - icdx.co.id

Price Performance Indicators

Previous Week % Change
ICDX $ 19,600.00 -0.88%
LME $ 19,560.00 -0.84%
KLTM $ 19,550.00 -0.79%
SHFE ¥ 146,190.00 +0.10%
USD/IDR Rp 14,437.00 -0.30%

Market View

Annual Maintenance on China Smelters

China’s output of refined tin in July remained flat from June levels, at 12,206 mt, as environmental probes lasted from June to the first half of July. Producers did not resume production until the second half of July. China Tin Group remained closed in July for annual maintenance and environmental issues.

Tariff Cuts on China's Auto imports

Import tariffs for foreign-made automobiles and car parts were cut from 25% to 15%, from July 1. As trade tension with Washington grew, on June, China raised tariffs on cars from the US to 40%, effective from July 6. The slump in sales of imported vehicles in June is likely to have little impact on the Chinese auto market as imported cars account for just 5% of China’s market for new cars.

WEEKLY ECONOMIC DATA & EVENTS CALENDAR

Date Data/Events Actual Expectation Previous
13/Aug China - Foreign Direct Investment YoY (Jul) N/A 1.1%
14/Aug China - Industrial Production YoY (Jul) N/A 6%
14/Aug Japan - Industrial Production YoY (Jun) -1.2% -1.2%
14/Aug Uni Europa - Industrial Production YoY (Jun) N/A 2.4%
15/Aug USA - NY Empire State Manufacturing Index (Aug) N/A 22.6
15/Aug USA - Industrial Production MoM (Jul) N/A 0.6%
15/Aug Japan - Exports YoY (Jul) N/A 6.7%
17/Aug Uni Europa - Consumer Price Index MoM (Jul) N/A 0.1%

Source: ICDX Research




ICDX MEMBER