SMM

Precious metal prices were in the doldrums today. After the spot-futures price spread of the SHFE silver 2510 contract narrowed to 10 yuan/kg at the opening, some large-scale silver ingot suppliers reduced their discounts against the SHFE silver October contract by 7-8 yuan/kg, while standard silver ingots saw limited transactions at discounts of 10-13 yuan/kg against the same contract. The spread widened, and trading activity noticeably weakened. According to SMM, mainstream quotations for standard silver ingot warrants in Shanghai were at premiums of 2-3 yuan/kg against TD, except for a few suppliers selling at parity. In Jiangxi, smelter-offered cargoes were quoted at discounts of 1 yuan/kg against TD, while a smelter in Inner Mongolia offered discounts of 11 yuan/kg against TD. After silver prices briefly weakened, downstream procurement sentiment slightly recovered but remained dominated by just-in-time procurement, with overall market transactions staying subdued.