SHANGHAI, Aug. 20 (SMM) –LME tin opened at USD 15,140/mt on Wednesday. The metal touched day’s high of USD 15,500/mt and day’s low of USD 15,140/mt before closing up USD 265/mt at USD 15,425/mt. Trading volumes were up 79 lots to 404 lots, and positions were down 620 to 20,912. Inventories grew 700 mt to 6,985 mt. The price rise was driven a weaker US dollar. Caution ruled before release of US Fed’s policy meeting minutes, sending the US dollar index down. Chinese authority intervened again after the country’s stock market tumbled to ease liquidity crisis, suggesting that the economy is weak. Meeting minutes of US Fed gave a dovish tone, easing expectations for imminent interest rate hike. LME tin should move between USD 15,000-16,000/mt on Thursday.
SHFE 1509 tin contract should look for support at RMB 106,300/mt. In Shanghai spot market, mainstream traded prices will remain low at RMB 106,000-108,500/mt.