SMM Tin Market Morning Review (2013-12-12)

SHANGHAI, Dec. 12 (SMM) – LME tin opened at USD 22,410/mt on Wednesday. The metal ranged between day’s high of USD 22,649/mt and day’s low of USD 22,410/mt. A tentative two-year bipartisan budget deal was reached to avert US government shutdown on January 15, helping LME tin close USD 155/mt higher at USD 22,580/mt. Trading volumes were off 834 lots to 502 lots, while positions increased 886 lots to 20,967 lots. LME tin inventories dropped 260 mt to 10,365 mt.

Caution will rule the market before the outcome of the Fed’s policy meeting next week. LME tin is expected to move sideways around USD 22,500/mt on Thursday, while spot tin prices in China are expected between RMB 140,000-143,000/mt.