Tin prices rose to a three-week high on signs of shrinking supplies and increasing global demand.
Orders to withdraw tin from warehouses monitored by the London Metal Exchange rose 12 percent to 2,300 metric tons, the highest since March 5. World demand will exceed supply by 10,000 tons this year, according to BNP Paribas SA. Exports from Indonesia, the biggest global shipper, slid 28 percent in February from a year earlier.
“Global production is less than demand, and added to that, some of the exports are not coming out of Indonesia,” Stephen Briggs, an analyst at BNP Paribas in London, said in a telephone interview. “That just increases the deficit. At some point, it has to have a bullish impact on the price.”
Tin for delivery in three months climbed 1 percent to settle at $23,190 a ton at 5:50 p.m. on the LME. Earlier, the price reached $23,350, the highest since March 7.
Indonesia requires tin ingots of a minimum 99.9 percent purity to be traded on a domestic exchange before export.
Copper fell 0.5 percent to $6,642.50 a ton ($3.01 a pound). Yesterday, the price climbed to $6,734, the highest since March 10, after an earthquake struck Chile, the top producer.
Copper futures for May delivery dropped 0.6 percent to $3.027 a pound on the Comex in New York.
Aluminum, nickel and zinc rose in London, while lead dropped.