Malaysian tin ended unchanged at $6,370 a tonne on Tuesday as good European demand countered keen selling by producers. But dealers said prices, which had gained 4 percent since October 27, were unlikely to maintain their upward march.

"The market is expected to hover around $6,400-$6,500 a tonne level this week," said one trader. Three-month tin on the London Metal Exchange, which often guides Malaysian prices, was up $50 to $6,425 a tonne on Monday.

Dealers noted initial bids for 95 tonnes against offers for 100 tonnes.

Final volume was 100 tonnes, doubled from Monday's 51.

European buyers took 60 tonnes while Japanese and Malaysian buyers bought 30 tonnes and 10 tonnes respectively.

The premium for shipping a tonne of Malaysian tin to Europe narrowed to $140 from Monday's rate of $190. The premium takes into account freight, insurance and other costs.

Copyright Reuters, 2005