SHANGHAI, Oct. 24 (SMM) -- LME nickel prices opened at USD 18,300/mt and closed at USD 18,850/mt overnight, up USD 700/mt from a day earlier, with the highest price at USD 18,975/mt and the lowest price at USD 18,170/mt. Daily trading volumes were 2,303 lots, down 394 lots. Positions were 93,539 lots, up 867 lots. Inventories were 86,820 mt, down 1,668 mt.
LME nickel prices fluctuated narrowly around low level during the Asian and early European trading ours, but were boosted to move higher due to optimistic expectation that consensus will be reached on solving the European debt crisis. During the evening trading hours, LME nickel prices fluctuated at high level and closed at USD 18,850/mt, up USD 700/mt from a day earlier.
Before Sunday’s EU summit, the pledge by leaders in Europe that a plan would emerge no later than Wednesday provided new hope for the European debt crisis. In addition, according to agreement reached last year at the EU finance minister conference, Greece will receive the sixth batch of loans worth Euro 8 billion. In this context, risk appetite increased, while the US dollar fell significantly, with three major equity markets in the US all rallying.
The latest development of EU summit will greatly affect performance of base metals, and LME nickel prices will remain fluctuation trend on Monday. At present, LME nickel prices will test USD 19,000/mt. In China's domestic nickel spot market, last Friday’s LME nickel price rally will boost spot prices, and SMM expects that spot nickel prices will move in the RMB 136,000-138,500/mt range on Monday.