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With regard to price trends, 40% market players believe tin prices should rally this week. On one hand, the LME tin prices closed higher last Friday, raising market confidence. On the other, since smelters are reluctant to move goods due to high costs, goods circulating in the market were limited, giving certain support to tin prices. Thus, domestic tin prices should rise mildly if LME tin prices continue the upward trend.
40% investors hold a view that the tin prices tend to stabilize this week. Despite a sign of stabilizing in LME tin prices, the macroeconomic condition is still full of uncertainties given the unresolved European debt crisis, and wait-and-see still prevails in domestic market due to the remaining sluggish demand which leads to modest transactions. In this context, domestic tin prices are not likely to gain strong support and should remain stable if the increases in LME tin prices are limited.
The remaining 20% market players believe tin prices will fall this week, since orders at enterprises downstream failed to stage any remarkable improvements, and LME tin prices have not fully stabilized yet.
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