SHANGHAI, Aug. 10 (SMM) -- LME nickel for delivery in three months opened at USD 22,525/mt and closed at USD 21,401/mt on Monday, down by USD 1,299/mt from a day earlier, with the highest price at USD 22,600/mt and the lowest price at USD 21,200/mt. On Tuesday, as market continued to be affected by concern over the global economic growth following the US credit cut, LME nickel prices fell rapidly to USD 20,200/mt after opening at USD 21,255/mt. Later, supported by weaker US dollar and technical correction, LME nickel prices rebounded to USD 21,900/mt. During the early European trading hours, LME nickel prices slipped again due to firm US dollar, with support at USD 20,000/mt. LME nickel inventories were up by 6 mt to 102,582 mt.
In the Shanghai nickel spot market, Monday’s slump in LME nickel price and Tuesday’s low open of LME nickel prices significantly dragged down spot nickel prices by RMB 10,000/mt. Although ex-works nickel prices from Jinchuan Group were firm, spot nickel prices fell below RMB 160,000/mt in the market. In the morning trading hours, transactions were sluggish, with mainstream traded prices of nickel from Russia in the RMB 156,000-156,500/mt range, and mainstream traded prices of nickel from Jinchuan Group in the RMB 158,000-158,500/mt range. In the afternoon trading hours, LME nickel prices rebounded to certain extent, boosting spot nickel prices. However, traders were still reluctant to move goods, with a few deals made between RMB 158,000-159,000/mt. Some traders were unwilling to move goods due to sharp decline of nickel prices in recent days. However, trading sentiment was brisk in future market, as volatile price movement attracted many traders, which dampened transactions spot market to certain extent.