SMM Daily Review - 2012/1/10 Tin Market

SHANGHAI, Jan. 11 (SMM) – Tight supply as a result of optimism among smelters and goods holders and stock replenishment demand ahead of the Chinese New Year have been continually driving up tin prices during recent days. Spot tin trading weakened after tin prices climbed above RMB 166,000/mt on Tuesday, but slightly recovered following a rebound in LME tin in the afternoon. Mainstream Kaiyuan, Jinhai and Yunshan branded tin, together with Yunheng and Yunxi branded tin scheduled to arrive next week, traded between RMB 165,000-168,000/mt. The overall traded volume was moderate. Transportation has become a key determiner of recent tin prices as hundreds of millions of people head home for family reunion. Whether tin prices can surge further ahead of the Chinese New Year may largely be decided by the attitudes of sellers and buyers.