5) Stock levels In theory rising tin stock levels should be indicative of a weak market, as supply exceeds demand. It is normal for prices and inventory levels to generally move in opposite directions. When tin producers don’t like the market price and think that they can get a better one by waiting, they put their production into warehouse storage and wait for better times. When prices rise up to or above a price level that the producers like, tin starts coming back out of inventory and onto the market. So watching tin inventory levels can give us insights about where the producers think a fair price is.Both the LME and the Shanghai Futures Exchange (ShFE) report tin stocks. Traders should monitor the change in tin inventories at both exchanges for clues about tin supply and prices.
ANW Price at posting:
0.9¢ Sentiment: Buy Disclosure: Held
