[SMM Nickel Midday Review] Nickel prices pulled back slightly on July 24, Trump says "seriously considering" restarting large-scale military operations against Iran.

SMM Nickel July 24:

Macro and Market News:

(1) PBOC announcement: To keep banking system liquidity ample, on July 24, 2026, the People's Bank of China will conduct MLF operations worth 500 billion yuan via fixed quantity, rate tender, and multiple price bids, with a tenor of 1 year.

(2) US President Trump said on the 23rd that he is "seriously considering" resuming large-scale military operations against Iran.

Spot Market:

On July 24, SMM #1 refined nickel averaged 132,350 yuan/mt, down 200 yuan/mt from the previous trading day. For spot premiums, Jinchuan #1 refined nickel averaged 1,450 yuan/mt, flat from the previous trading day, while domestic mainstream brand electrodeposited nickel ranged from -300 to 500 yuan/mt.

Futures Market:

The most-traded SHFE nickel 2609 contract plunged sharply in the night session, and by the morning close had modestly recovered to 132,610 yuan/mt, up 0.2%.

Nickel inventory continued destocking recently, supporting a rebound in nickel prices. Meanwhile, the US-Iran conflict and the evolving situation in the Strait of Hormuz once again triggered sulfur supply disruption concerns, and short-term nickel prices are expected to hold up well.