SHANGHAI, Apr. 27 (SMM) – LME tin prices overnight opened at USD 21,998/mt in electronic trading and fluctuated up due to expectations on a new round of stimulus measures by Federal Reserve, to close at USD 22,150/mt, up USD 350/mt from the previous trading day, with the highest price at USD 22,600/mt, and lowest prices at USD 21,802/mt. Daily trading volumes were 542 lots, up 211 lots. Positions were 19,469 lots, up 256 lots. LME tin inventories were up 15 mt to 13, 890 mt.
The US employment data released by Labor Department Thursday was disappointing, causing market concerns over the trends of the US dollar index. The continuous negative US economic data will be unfavorable to US dollar index due to stronger expectations on the adoption of QE3 measure, and base metal markets will likely surge accordingly. In addition, S&P downgraded rating for Spain with a negative outlook, predicting a worsening financial situation for the country. This may add to worries on the euro zone economic recovery and limit increases of base metals.
On Friday, domestic spot tin prices should be between RMB 163,500-165,000/mt.