SHANGHAI, Oct. 13 (SMM) -- On Tuesday, LME nickel market opened at USD 19,300/mt and closed at USD 18,845/mt, down USD 705/mt from a day earlier, with the highest price at USD 19,401/mt and the lowest price at USD 18,656/mt. On Wednesday, LME nickel prices fluctuated higher after a low open on significant gain in China's stock market during the Asian trading hours. During the early European trading hours, LME nickel prices extended upward momentum and hit a high of USD 19,250/mt. Although European debt crisis still haunted market, LME nickel prices were temporarily supported by dip-buying and growth in China’s stock market. LME nickel inventories were 91,782 mt, down 720 mt.
In the Shanghai nickel spot market, offers were dragged down by Tuesday’s LME nickel price slump, but spot nickel prices advanced later along with Wednesday’s rising LME nickel prices. Mainstream traded prices of nickel from Russia were at RMB 139,000/mt, with deals at RMB 138,500/mt also reported during the morning trading hours. Mainstream traded prices of nickel from Jinchuan Group were at RMB 140,000/mt, with deals at RMB 139,500/mt also reported during the morning trading hours. Supply of nickel from Russia increased compared to two days earlier, expanding price spread between Russian nickel and Jinchuan nickel. Overall trading sentiment was quiet, and downstream consumption was still soft, with deals largely done among traders. Since prices of NPI were relatively high, many stainless steel mills increased consumption of refined nickel. However, purchases of refined nickel were not made in a large amount.