Nickel Futures Prices to Move Rangebound

SHANGHAI, May 5 (SMM) - SHFE nickel surged in the early trading yesterday affected by the overseas nickel futures prices. The spot premiums trended lower, but the absolute prices still stood high. The spot transactions fell short of expectations. NPI traders were less willing to ship cargo amid low market supply and high costs. On the demand side, the spot prices of stainless steel in the Wuxi and Foshan markets rose somewhat yesterday. Stainless steel mills’ slower spot shipments to the market slightly pushed up the spot prices yesterday, but the trades were average. In general, the low spot supply at home and abroad continues to beef up nickel prices. SHFE nickel will move rangebound.