BLBG: Tin Falls in London as Rising Stockpiles Signal Lower Demand
By Claudia Carpenter
Nov. 19 (Bloomberg) -- Tin fell for a third day in London as rising stockpiles signaled production is outpacing demand from industry. Copper also dropped.
Tin stockpiles in warehouses monitored by the London Metal Exchange have jumped 19 percent since Nov. 10. The global supply deficit will narrow next year as production climbs the most in four years and demand stabilizes, according to Barclays Capital.
``Electronics demand, as well as cars, is down,'' said Eugen Weinberg, an analyst at Commerzbank AG in Frankfurt.
Tin for delivery in three months declined $300 to $12,750 a metric ton as of 8:56 a.m. on the London Metal Exchange. Prices have dropped 22 percent this year.
Production will jump 3.4 percent next year while demand gains 0.2 percent, Barclays said. Supply will fall short of demand by 10,000 tons after a deficit of 17,000 tons this year.
Aluminum for delivery in three months fell $22 to $1,895 a ton and copper declined $85 to $3,665 a ton.
Aluminum stockpiles tracked by the London Metal Exchange climbed 5.1 percent, the biggest gain since Sept. 17, to a near 14-year high of 1.7 million tons.
Lead dropped $20 to $1,280 a ton, zinc fell $39 to $1,190 a ton and nickel fell $250 to $10,500 a ton.
To contact the reporter on this story: Claudia Carpenter in London at ccarpenter2@bloomberg.net or ccarpenter2@bloomberg.net