SHANGHAI, Jun. 12 (SMM) – LME tin prices opened at USD 19,970/mt in electronic trading overnight and fluctuated down during European trading hours due mainly to the disappointing Italian economic data. LME tin prices finally closed at USD 19,750/mt, down USD 50/mt from the previous trading day, with the lowest price at USD 19,599/mt and the highest at USD 20,000/mt. Daily trading volumes were down 70 lots to 125 lots, while positions fell by 89 lots to 19,230 lots. LME tin inventories were down 80 mt to 12,075 mt.
LME base metals fell after rising initially. Although market sentiment was lifted as Spain managed to gain the bailout loan for its banks, investor concerns over the European debt issue remained. Market will focus on the upcoming Greek election recently. Besides, as Fitch downgraded ratings for Spanish banks and BBVA to BBB+ with negative outlook, riskier assets including crude oil and equities presented general declines, and the USD dollar index picked up, weighing on base metals.
On Tuesday, tin prices in China’s domestic market are expected to be RMB 151,500-152,500/mt.