SHANGHAI, Oct. 15 (SMM) -- LME tin for delivery in three months opened at USD 21,900/mt and closed at USD 21,380/mt on Friday night, down by USD 620/mt from a day earlier, with the highest price at USD 21,900/mt and the lowest price at USD 21,291/mt. Daily trading volumes were 397 lots, up by 48 lots. Positions were 23,138 lots, up by 153 lots from a day earlier. LME tin inventories were down by 485 mt to 11,755 mt.
LME base metal market was bearish last Friday, as market concern over base metal demand outlook remained. LME tin prices moved stably during the Asian trading hours, but fell all the way during the European trading hours. Finally, LME tin prices closed at USD 21,380/mt, down USD 620/mt from a day earlier, with prices lower than 20-day moving average.
LME base metal prices largely closed with losses overnight, with LME lead and zinc falling most noticeably. The Standard & Poor’s cut the Spanish credit rating, renewing concern over the European debt crisis. Last week, the IMF cut forecast of global economy and the World Bank warned risks of global economic slowdown. The US jobless claim hit news lows since February 16th, 2008, and the US PPI for September was higher than market expectation, which fueled expectation over possible change of monetary policy.
Close attention should be paid to development of the EU summit and China’s economic data. SMM expects that LME tin prices will test support at 30-day moving average, and spot tin prices will move in the RMB 154,500-158,000/mt on Monday.