SHANGHAI, Oct. 24 (SMM) -- LME tin prices opened at USD 21,400/mt and closed at USD 21,620/mt overnight, up USD 220/mt from a day earlier, with the highest price at USD 22,200/mt and the lowest price at USD 21,400/mt. Daily trading volumes were 182 lots, up 29 lots. Positions were 17,241 lots, up 376 lots. LME tin inventories were 17,500 mt, down 300 mt from a day earlier.
LME tin prices fluctuated between USD 21,500-22,000/mt last Friday due to support from stronger euro and hit a high of USD 22,200/mt due to boosted market sentiment from expectation that France and Germany leaders would reach a consensus on solving the European debt crisis. LME tin prices only slipped slightly at the tail of the trading, and closed at USD 21,620/mt, up USD 220/mt from a day earlier.
Before Sunday’s EU summit, the pledge by leaders in Europe that a plan would emerge no later than Wednesday provided new hope for the European debt crisis. In addition, according to agreement reached last year at the EU finance minister conference, Greece will receive the sixth batch of loans worth Euro 8 billion. In this context, risk appetite increased, while the US dollar fell significantly, with three major equity markets in the US all rallying.
At present, LME tin prices meet certain resistance at USD 22,000/mt. Market sentiment greatly is affected by development of the EU summit, so LME tin prices will remain fluctuation trend and will struggle around USD 22,000/mt on Monday. In China’s domestic tin spot market, the fluctuated movement of LME tin prices will limitedly boost spot tin prices, and SMM expects that spot tin prices will move in the RMB 177,500-182,000/mt range on Monday.