Saturday, February 5, 2011

KL tin prices may continue uptrend

The Kuala Lumpur Tin Market (KLTM) is expected to continue upward trend next week on strong follow-through demand from overseas.

Dealers said the metal would likely trade between US$30,000 and US$30,100 per tonne with participation expected from European, Japanese and local traders.

They said KLTM would also closely watch the performance of the London Metal Exchange (LME) for direction.

The price of the commodity which hit an all-time high on Monday due to strong buying interest from overseas buyers and shortage of supply, ended the week higher by US$850 at US$30,050 per tonne compared with US$29,200 per tonne the previous week.

On LME, it closed the week firmer at US$30,160 per tonne against US$29,125 per tonne previously.

Turnover on KLTM declined to 115 tonnes from last week's 325 tonnes with participation from Japanese, European and local traders.

The market was closed on Tuesday for Federal Territory Day and also on Thursday and Friday for Chinese New Year celebrations.

The price difference between KLTM and LME, based on a formula that includes freight, insurance and other financial costs, declined to premium of US$310 per tonne on Wednesday compared with US$495 per tonne at the end of last week. --  Bernama

No comments:

Post a Comment