Tin is one of the base metals that suffered the most while the dollar was surging. This doesn’t come as a surprise, as tin was one of our weaker metals prior to the dollar’s big move. While other metals kept some of their gains of this year, tin is down 12% in only 2 months.
Not only that, but tin also fell below the levels at which it was trading for over a year. This is quite negative and proves the inability of tin to make a significant advance this year, as we pointed out at the start of 2014.
There are different opinions on the future supply/demand balance. What is clear is that the marketplace does not have high expectations for tin and, therefore, we wouldn’t recommend buyers to go long amidst this weakness.
What This Means For Metal Buyers
With commodities and industrial metals still at low levels, it will be hard to see this weak performer making significant advances anytime soon.
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