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Malaysian tin hit a two-week high, returning to the psychologically important $9,000-a-tonne mark, after an almost similar performance in London tin the day before.
Spot tin on the Kuala Lumpur Tin Market (KLTM) jumped $55, or 0.6 percent, to $9,010 on Thursday after a transaction of 110 tonnes. The market last breached $9,000 on October 13, closing at $9,130.
"Today, we were basically playing catch-up to the LME," said a KLTM trader.
Tin on the LME, or the London Metal Exchange, also hit a two-week high on Wednesday, closing $50 up at $9,050. Dealers noted initial bids for 160 tonnes against offers for 100 on Thursday's KLTM. Buyers came from Japan, Europe and Malaysia.
The steeper rise on the KLTM compared with the LME widened the premium for shipping a tonne of Malaysian tin to Europe by $5 to $195 a tonne.
On Wednesday, the premium, which is calculated using freight, insurance and other financial costs, stood at $190 a tonne.

Copyright Reuters, 2004

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