SHANGHAI, May 14 (SMM) – LME tin prices opened at USD 20,300/mt in electronic trading last Friday and closed at USD 20,376/mt due to the above-expected Michigan consumer confidence index and since China announced to lower RRR by 0.5 percentage points, down USD 4/mt from the previous trading day. The highest price was at USD 20,550/mt and lowest was at USD 20,251/mt. Daily trading volumes were 263 lots, down 155 lots. LME tin inventories were down 25 mt to 14,490 mt.
China will lower banks' reserve requirement ratio (RRR) by 0.5 percentage points starting May 18, the country's central bank announced May 12. The cut, the second of its kind this year, will drop the RRR for the country's large financial institutions to 20% and the medium and small financial institutions to 16.5%. It was reported the central bank’s move is to further release liquidity against the backdrop of current slowdown in economic growth.
On Monday, domestic tin prices should be between RMB 158,500-161,000/mt.