SHANGHAI, Jan. 11 (SMM) -- LME nickel LME nickel for delivery in three months opened at USD 19,001/mt and closed at USD 19,480/mt, up by USD 410/mt from a day earlier, with the highest price at USD 19,540/mt and the lowest price at USD 18,900/mt. Daily trading volumes were 3,165 lots, up by 152 lots. Positions were 109,640 lots, up by 1,199 lots from a day earlier. LME nickel inventories were 92,538 mt, up 2,700 mt from a day earlier.
LME nickel prices advanced slightly during Asian trading hours due to rally in China’s stock market. During the Asian trading hours, the meeting between German Chancellor and IMF President eased investor concern over the European debt crisis. In this context, LME nickel prices continued to advance to hit USD 19,540/mt, and finally closed at USD 19,480/mt.
China’s trade surplus expanded from USD 14.53 billion in November to USD 16.52 billion in December, boosting commodity market. Meanwhile, the record high of China’s copper imports in December was interpreted by players as stock replenishment demand, which supported copper prices. In addition, it is expected that more aluminum producers the US will cut output in the following few months, which inspired LME aluminum prices to rally.
The US dollar index slipped slightly after profit-taking, boosting LME nickel prices. Although the EU leader summit eased market concern to certain extent, the European debt crisis still haunts market, which will lend upward momentum to the US dollar. It is expected that LME nickel prices may lack upward momentum and will move in the RMB 19,000-19,500/mt range on Wednesday, and spot nickel prices may advance to point RMB 130,000-135,000/mt range on Wednesday.