SHANGHAI, Jun. 11 (SMM) – LME tin prices opened at USD 19,700/mt in electronic trading last Friday and closed at the intraday high of USD 19,800/mt, as President Obama said European leaders are moving in the right direction to discuss over strengthening banking system, with the lowest price at USD 19,400/mt. Daily trading volumes were down 53 lots to 195 lots, while positions fell by 274 lots to 19,319 lots. LME tin inventories were down 155 mt to 12,155 mt.
The positive economic data and news from Europe boosted risk appetite in metal markets. China’s CPI rose 0.3% YoY in May, down 0.4 percentage point, a 23-month low, according to the National Bureau of Statistics. PPI in May fell 1.4% YoY and down 0.4% MoM. The data indicated inflationary pressure eased further, providing conditions for loosening monetary policy. The interest rate cut by central bank was the prelude to the easing policy. Besides, euro zone finance minister agreed to offer a maximum EUR 100 billion loan to Spain last Saturday to help bail out its banks. In this context, risk appetite in metal markets should continue to rise.
On Monday, spot tin prices in China’s domestic market are expected to be RMB 151,500-152,500/mt.