SHANGHAI, Mar. 21 (SMM)-LME tin market overnight opened at USD 23,600/mt, with the highest and lowest level of USD 23,600/mt and USD 23,200/mt, respectively. Finally, LME tin market closed at USD 23,400/mt, down USD 200/mt from a day earlier. Trading volumes were 186 lots, up by 37 lots. Positions were 19,024 lots, down by 75 lots. Inventories were 12,095 mt, up 540 mt.
During Asian and earlier European trading hours, LME tin market overnight weakened, down as low as USD 23,200/mt. During the evening, LME tin prices fluctuated narrowly at low levels. The mild US economic data and the rising dollar weighed down metal prices. Finally, LME tin prices ended at USD 23,400/mt, down USD 200/mt from a day earlier.
On March 20th, the People’s Bank of China released the banks macro-economic confidence index for 1Q was 40%, and the reading fell below 50% for two quarters in a row. In other news, BHP Billiton said iron ore demand in China is slowing, leading to lower-than-expected export demand, and demand will wane further in the future. The concerns over China’s slowing economy dominated market movements. The commodity market fell across the board, and LME metal prices closed lower on negative news. The easing of Greek debt issues, however, should support the market to some extent.
With mixed news, LME tin prices will remain weak, with the support expected at USD 23,200/mt. In domestic tin market, spot prices are expected to be move between RMB 171,000-173,000/mt, given declines in LME tin market overnight and weak demand.