SHANGHAI, Jul. 4 (SMM) – Given the introduction of stimulus plans by several central banks and expectations on buying supports, LME tin prices rose to a high of USD 19,399/mt after opening at USD 18,890/mt overnight and closed up USD 400/mt from the previous trading day to USD 19,200/mt. Daily trading volumes were up 487 lots to 786 lots, and positions rose 148 lots to 19,458 lots. LME tin inventories were 12,590 mt, up 420 mt.
LME base metals extended their increases and closed higher overnight. Market is attentive to the actions of ECB after signal of stimulating growth were sent from the EU summit. May PPI data released by Eurostat indicated continuous decline in inflation and offered room for ECB to further lower interest rate. ECB will release its decision on interest rate Thursday night (GMT+8). Most market players expect ECB will cut interest rate by 25 basis points. Market expectations drove base metals to rise.
On Wednesday, spot tin prices in China should be between RMB 147,000-148,500/mt.
