SHANGHAI, Feb. 21 (SMM) -- LME nickel LME nickel for delivery in three months opened at USD 19,879/mt and closed at USD 19,990/mt overnight, up by USD 410/mt from a day earlier, with the highest price at USD 20,500mt and the lowest price at USD 19,525/mt. Daily trading volumes were 1,774 lots, down by 1,884 lots. Positions were 104,503 lots, up by 2,012 lots. LME nickel inventories were 92,334 mt, down 510 mt from a day earlier.
The US financial market was closed overnight, and the second round of Greek bailout fund still faced many uncertainties. Although the eurozone financial ministers meeting still has not come up with final decision, market expectation over the bailout was optimistic. In this context, LME nickel prices rallied to certain extent at the tail of the trading.
In the eurozone, players closely watched latest development of the Greek debt issue which was discussed at overnight European financial ministers meeting, and widely expected that agreement can be reached at the meeting. Amid optimism, related markets in the euro zone were boosted. Coupled with China central bank’s cut in bank requirement reserve ratio, LME base metal prices largely closed with gains overnight.
The Greek bailout was stranded again overnight, which may weigh on LME nickel prices on Tuesday. SMM expects that LME nickel prices will move in the RMB 19,500-20,100/mt range, and spot nickel prices may advance to RMB 139,000-143,000/mt on Tuesday.