SHANGHAI, Sept. 13 (SMM) -- LME tin prices opened at USD 23,450/mt and closed at USD 23,625/mt overnight, down by USD 75/mt from a day earlier, with the highest price at USD 23,719/mt and the lowest price at USD 22,400/mt. Daily trading volumes were 427 lots, up 144 lots. Positions were 18,525 lots, down 160 lots. LME tin inventories were 22,015 mt, up 160 mt from a day earlier.
LME tin prices closed with slightly losses overnight, affected by mixed factors, such as fluctuation of the US dollar, expectation over robust demand and deteriorating European debt crisis. LME tin market was quiet during the Asian trading hours due to China’s Mid-Autumn Day holiday. During the European trading hours, LME tin prices slipped significantly, but later pared losses and were on upward track, reaching the highest level of USD 23,719/mt and touching the lowest level of USD 22,400/mt. Finally, LME tin prices closed at USD 23,625/mt, down USD 75/mt from a day earlier.
On Monday, risk aversion sentiment further grew due to rumor that Moody’s might cut credit rating of French banks. Investors concerned that the European debt crisis may deteriorate further, weighing down the euro. Later market sentiment was temporarily stabilized due to news that EU, European Central Bank and IMF will help Greece on Wednesday, with the US and EU equity market rebounding at the tail of the trading. Spot gold tumbled by 2.5% on Monday, as investors began to sell off gold after it reached historical high in order to make up losses from deteriorating European debt crisis. NYMEX crude oil for delivery in October closed with slight gains.
Market is still haunted by concern over European debt crisis, and LME tin prices will continue to fluctuate around USD 24,000/mt. In the Shanghai tin spot market, spot tin prices will be weighed by supply of imported tin and weak momentum of LME tin prices. SMM expects that spot tin prices will move in the RMB 194,500-197,000/mt range on Monday.