SHANGHAI, Aug. 30 (SMM) -- Last Friday, LME nickel prices opened at USD 21,169/mt and closed at USD 21,700/mt, up by USD 680/mt from a day earlier, with the highest price at USD 21,700/mt, and the lowest price at USD 20,900/mt. On Monday, LME market was closed.
In the Shanghai nickel spot market, Jinchuan Group raised ex-works nickel price by RMB 3,000/mt to RMB 161,000/mt along with last Friday’s LME nickel price hike. Boosted by Jinchuan Group’s price hike, traders’ confidence gradually resumed. Transactions of Russian nickel were better than Jinchuan nickel. Mainstream traded prices of nickel from Russia were in the RMB 161,000-161,500/mt range, and mainstream traded prices of nickel from Jinchuan Group were in the RMB 162,000-162,300/mt range, with few deals made at RMB 162,500/mt.
With regard to market sentiment, 50% market players believe that nickel prices will rally this week, holding that Ben Bernnake’s remark has failed to trigger broad rally in base metal market, suggesting that market sentiment has stabilized to certain extent. In this context, LME nickel price will fluctuate higher this week. 30% market players expect that nickel prices will largely remain stable this week. As macro economic environment has not stabilized yet, LME nickel prices will continue to fluctuate. The remaining 20% market players believe that LME nickel prices may fall to certain extent this week. The soft domestic demand, coupled with weak momentum of LME nickel prices will drag down domestic nickel prices to certain extent.