[SMM Nickel Sulphate Daily Review] August 31, Spot Order Market Transactions Were Sluggish, Nickel Sulphate Prices Declined

On August 31, the SMM average price for battery-grade nickel sulphate declined.

Cost side, macro interest rate hike expectations heated up again, nickel prices dropped sharply, and spot production costs for nickel sulphate declined; supply side, some producers held relatively high inventory levels and sought production cuts and destocking, while overall supply edged down; demand side, as the month-end procurement period arrived, some enterprises began to inquire, but some downstream enterprises still relied mainly on long-term contract supply, sentiment for building spot order inventories was weak, and their acceptance of nickel salt prices was relatively low. Today, the Willingness to Sell Sentiment Factor for upstream nickel salt smelters was 2.0, the Willingness to Purchase Sentiment Factor for downstream precursor plants was 2.3, and the sentiment factor for integrated enterprises was 2.3 (historical data can be accessed in the database).

Looking ahead, near-term spot order market activity is expected to remain subdued, while nickel sulphate prices are expected to stay under pressure overall.

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