Nickel Prices Fluctuated Considerably Today [SMM Nickel Spot Midday Review]

SMM March 5 News:

Spot Premiums and Discounts: The mainstream spot premiums for Jinchuan No.1 nickel were quoted in the range of 1,500-1,700 yuan/mt, with an average premium of 1,600 yuan/mt, up by 50 yuan compared to the previous trading day. The premiums and discounts for Russian nickel were quoted in the range of -100 to 0 yuan/mt, with an average discount of -50 yuan/mt, also up by 50 yuan from the previous trading day.

Futures: Nickel prices fluctuated considerably today but remained on an upward trend overall. As of the 11:30 closing price, it stood at 127,850 yuan/mt, up by 0.11% from the previous trading day's settlement price, with a peak at 128,310 yuan/mt.

Spot Premiums and Discounts: The premiums for Jinchuan-brand nickel rose by 50 yuan compared to the previous trading day, mainly driven by favourable macro front news.

From a technical perspective and in terms of market sentiment, the SHFE nickel 2504 contract showed considerable fluctuations after opening. Despite being during the Two Sessions, market trading remained sluggish by the midday break, with participants generally adopting a wait-and-see approach, anticipating the latest updates from the Two Sessions. In the short term, a tug-of-war has formed between favourable macro factors and the persistently bearish fundamentals.

Price Spread with Nickel Sulphate: Today, nickel briquette prices were in the range of 126,800-127,200 yuan/mt, with an average price of 127,000 yuan/mt, up by 300 yuan/mt compared to the previous day's spot price. Nickel sulphate remained at a discount to refined nickel.