SHANGHAI, Jan. 7 (SMM) – LME tin for delivery in three months opened at USD 23,890/mt and closed at USD 23,800/mt, down USD 175/mt from a day earlier, with intraday high at USD 24,150/mt and the low at USD 23,700/mt.Daily trading volumes were 249 lots, down 69 lots. Positions were 22,485 lots, up 590 lots. LME tin inventories were 12,655 mt, down 20 mt from a day earlier.
LME tin prices moved around USD 24,000/mt for most of the time last Friday, but still fell to hit a low at USD 24,150/mt. LME tin prices find support at 5-day moving average and finally closed at USD 23,800/mt, down USD 175/mt from a day earlier.
On the macroeconomic front, the US Department of Labor announced the US non-farm employment payrolls for December recorded 155,000, better than 152,000 expected. The unemployment rate was 7.8%, flat from November’s level. In addition, some Fed officials hope to halt plan to purchase bond. In the euro zone, the consumer price index for December annualized at an average of 2.2%, flat from those in November. In China, China’s central bank injected RMB 90 billion liquidity through 5-day reverse repos operation. In addition, China attached importance on urbanization.
The interest rate meeting of BOE and ECB will be held in January. Meanwhile, the Fed reserve's stimulus policy will also affect base metal prices. SMM believes that LME tin prices will find support at 5-day moving average after previous decline. In the Shanghai tin spot market, smelters' unwillingness to move goods will lend support for spot tin prices to move between RMB 155,000-157,500/mt on Monday.