SMM Tin Market Morning Review (2014-3-3)

SHANGHAI, Mar. 3 (SMM) – China’s official manufacturing PMI slipped 0.3% MoM to 50.2% in February, due in part to the Chinese New Year holiday. This, coupled with Ukraine turmoil, caused risk appetite to wane and sent tin prices down. LME tin opened at USD 23,550/mt last Friday, finding day’s high of USD 23,610/mt and day’s low of USD 23,400/mt. The metal ended the day down USD 125/mt at USD 23,450/mt. Trading volumes were down 1 lots to 331 lots, and positions also contracted 222 lots to 22,015 lots. Inventories dropped 350 mt to 8,065 mt.        

HSBC’s final China manufacturing PMI for February is due today. LME tin should meet resistance at USD 24,000/mt and find support at USD 23,000/mt on Monday. Spot tin prices in Shanghai are expected to hold steady at RMB 141,500-144,000/mt.