Following the jump, the tin price consolidated. It is expected to remain bullish however and therefore provides a buying opportunity.
Monday November 15, 2010 Tin price likely to consolidate this week
KUALA LUMPUR: Tin price on the Kuala Lumpur Tin Market (KLTM) is likely to consolidate this week with steady demand expected from foreign buyers, after the metal hit US$27,000 per tonne, dealers said.
They said the local tin market would remain positive in line with the bullish outlook for global base metals, with tin price expected to remain steady above US$26,000 per tonne this week.
At the end of trade last week, the KLTM tin price jumped US$1,150 to US$26,800 per tonne from US$25,650 per tonne the previous Thursday. The market was closed for the Deepavali celebration the previous Friday.
The metal?s price on London Metal Exchange (LME) also surged by US$1,100 to US$27,000 per tonne from US$25,900 per tonne previously.
The weekly turnover on KLTM increased to 355 tonnes compared with 272 tonnes a week earlier.
The price differential between KLTM and LME, based on a formula that includes freight, insurance and other financial costs, stood at a premium of US$225 per tonne against US$170 per tonne previously.? Bernama
