SHANGHAI, Jun. 8 (SMM) -- LME tin for delivery in three months opened at USD 25,600/mt and closed at USD 24,500/mt last Friday, down by USD 1,225/mt from a day earlier, with the highest price at USD 25,600/mt and the lowest price at USD 23,465/mt. Daily trading volumes were 875 lots, up by 304 lots. Positions were 20,056 lots, up by 234 lots from a day earlier. LME tin inventories were up by 790 mt to 22,475 mt.
LME tin prices continued to tumble last Friday, and uncertainties over the European debt crisis and concern over double-dip recession triggered large-scale sell-offs in the market. The US non-farm employment data was better than expectation, still failing to ease market concern. LME tin prices pared certain losses after plunging at the tail of the trading, with prices closing at USD 24,500/mt, down by 4.76% from a day earlier.
The US Department of Commerce announced last Friday that July's non-farm employment data increased by 117,000, while previous estimation was an increase by 85,000. Revised non-farm employment for June was up by 46,000, while the previous reading was an increase by 18,000. The US unemployment data for July was 9.1%, while the previous estimation was 9.2%. Unemployment data in June was 9.2%. July’s private payrolls increased by 154,000, higher than previous estimation of an increase by 115,000. Growth in June’s private payrolls revised from previous 57,000 to 80,000.
The Standard and Poor’s announced last Friday to cut the US AAA long-term sovereign credit rating to AA+, and put the US credit rating outlook on negative watch. This is the first time that the US loses its AAA sovereign credit rating.
Market sentiment was severely weighed by Standard and Poor’s cut of US credit rating. It is expected that market will be weighed, and stock market will face pressure to slump on Monday. LME tin prices plunged to USD 21,000/mt after a low open at USD 24,150/mt on Monday, and may slip further today. In China’s domestic tin spot market, market players’ confidence was severely dampened, and spot tin price may fall to between RMB 195,000-197,000/mt on Monday.