SHANGHAI, Feb. 10 (SMM) – LME tin overnight started at USD 18,600/mt and then hovered between USD 18,100-18,650/mt before ending flat at USD 18,500/mt. Trading volumes for three-month tin on the London Metal Exchange added 112 lots to 353 lots, while positions increased 208 to 21,024. LME tin inventories were unchanged at 11,850 mt on Monday.
LME tin fell to as low as USD 18,100/mt, but later regained losses as longs increased positions on Monday. The US Federal Reserve’s Labor Market Conditions Index (LMCI) came in at 4.9, shy of expectations, sending the US dollar index down. However, the US labor market continues to improve.
China’s January CPI and PPI, both due for release on Tuesday, are expected to be dispiriting, which may boost expectations that the People’s Bank of China will take more stimulus steps to shore up the economy. Investors should keep an eye on UK’s industrial output and GDP. LME tin is expected to fall to USD 18,600-18,100/mt, while spot tin prices in China will hold flat at RMB 125,000-128,000/mt on Tuesday.