[SMM Nickel Midday Review] Nickel Prices Rebound on February 4, Central Bank Conducts 800 Billion Yuan in Buyout-Style Reverse Repo Operations

Published: Feb 4, 2026 11:32

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SMM Nickel February 4 News:

Macro and Market News:

(1) To maintain ample liquidity in the banking system, the People's Bank of China conducted 800 billion yuan in outright reverse repo operations today, using a fixed amount, interest rate tender, and multiple-price winning method, with a maturity of three months (91 days).

(2) The US House of Representatives voted to pass a funding bill for several federal government departments for the remainder of the fiscal year, resolving the partial government shutdown that began on January 31. US President Trump subsequently signed the bill.

Spot Market:

On February 4, the SMM #1 refined nickel price was 136,100-147,100 yuan/mt, with an average price of 141,600 yuan/mt, up 2,550 yuan/mt from the previous trading day. The mainstream spot premium quotation range for Jinchuan #1 refined nickel was 9,000-9,800 yuan/mt, with an average premium of 9,400 yuan/mt, up 150 yuan/mt from the previous trading day. The spot premium/discount quotation range for mainstream domestic brands of electrodeposited nickel was -400-400 yuan/mt.

Futures Market:

The most-traded SHFE nickel contract (2603) opened higher and rose during the session, closing the morning session at 136,570 yuan/mt, up 2.94%.

The previous sharp decline in macro panic sentiment eased, and the non-ferrous metals sector saw a technical rebound overall. Expectations for reduced nickel ore quotas in Indonesia persist, and nickel prices are expected to rebound in the future.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

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