Malaysian tin ended $40 down on Tuesday, narrowing its premium to the London Metal Exchange, as the local market stayed firmly in the $7,000-a-tonne range despite recent sell-offs in London tin.
The spot price on the Kuala Lumpur Tin Market (KLTM) was quoted at $7,050 a tonne, against on Monday's close of $7,090.
Volume rose to 65 tonnes from 40 tonnes.
Overnight, tin on the London Metal Exchange (LME) ended $55 up at $6,930 a tonne, bucking the trend in most base metals led by copper. With the lower close in Kuala Lumpur, the premium for shipping a tonne of Malaysian tin to Europe was reduced to $315 a tonne from $410 a tonne on Monday, dealers said.
Just a week ago, the premium stood at around $200 a tonne.
Dealers said Japanese and local interests bid for an initial 35 tonnes on Tuesday's KLTM, against sellers' offers of 62 tonnes.
Buyers later raised their demands by 30 tonnes and sellers added a couple more for both sides to strike a match.