SHANGHAI, Sept. 19 (SMM) -- LME tin prices opened at USD 23,600/mt and closed at USD 23,300/mt last Friday night, down USD 180/mt from a day earlier, with the highest price at USD 23,685/mt and the lowest price at USD 23,130/mt. Daily trading volumes were 185 lots, down 34 lots. Positions were 18,518 lots, up 108 lots. LME tin inventories were 21,100 mt, down 95 mt from a day earlier.
LME tin prices largely moved stably and transactions in LME tin market were quiet during Friday’s Asian trading hours and early European trading hours. Investors were cautious amid unclear macro economic trend. During the evening trading hours, equity market pared early gains, dragging down base metal prices. In response, LME tin prices hit a low of USD 23,130/mt and closed at USD 23,300/mt, down USD 180/mt from a day earlier, with resistance still felt at 10-30 day moving average.
Last Friday, Germany's Chancellor Angela Merkel stressed that the Germany government would not agree to issue euro zone bond, heavily depressing market sentiment. Although the US University of Michigan consumer confidence index came better than market expectation, it still failed to boost market sentiment. Although equity markets in the EU and US largely ended with gains, their movements were extremely volatile, suggesting unclear market outlook. The US dollar and gold rebounded, while the euro was weighed. Crude oil prices slumped, lingering around USD 90/barrel.
The European debt crisis still haunted market. In addition, the poll result announced last weekend from the US was extremely negatively for Obama’s re-election. It is expected that market sentiment will continue to be weighed before release of any positive news. At present, LME tin prices will continue to extend weak momentum, with resistance at USD 24,000/mt and support at USD 23,300/mt. In the Shanghai tin spot market, soft downstream consumption, coupled with weak momentum of LME tin prices, will make spot tin prices to move stability between RMB 191,500-195,500/mt on Monday.