Malaysia's tin market closed higher on Monday on renewed buying interest from Europe and a rebound in the London price of the metal, which is used in plating and electronics. Spot tin on the Kuala Lumpur Tin Market rose $15 a tonne to $7,655 on a volume of 62 tonnes, down two tonnes from Friday. "People think the price has reached its bottom.
That's why we see some buying interest," said one dealer in Malaysia's northern state of Penning. "There has been some speculative selling in London because of talk that there will be a lot of tin coming into the market from Indonesia," he said.
Dealers noted initial bids of 70 tonnes while offers were lower at 60 tonnes. The Europeans purchased 40 tonnes, while Japanese and local buyers took 15 and five tonnes respectively.
Tin on London Metal Exchange rose $80 a tonne to $7,580 a tonne on Friday. Dealers said the premiums for shipping Malaysian tin into Europe, after freight, insurance and other financial costs, narrowed to $295 a tonne from $320 a tonne previously.