SHANGHAI, Jun. 20 (SMM) – LME tin prices overnight opened at USD 20,190/mt, with the high end of the price range USD 20,200/mt, and finding support at USD 19,982/mt. Finally, LME tin prices closed at USD 20,150/mt. Trading volumes increased by 22 lots, to 240 lots, and total position decreased by 605 lots, to 21,604 lots. Inventories fell by 85 mt, to 14,300 mt.
The US Federal Reserve's (Fed) interest rate decision caused market fluctuations, and the Federal Open Market Committee (FOMC) raised its assessment for growth in 2014 while lowering unemployment rate forecast. Bernanke pointed out the Fed will likely scale back assets purchasing sometime this year, boosting the US dollar index to soar and weighing down base metals prices.
LME tin prices will test support at USD 20,000/mt today, and spot prices in Shanghai should level out between RMB 139,500-142,000/mt.