Shanghai, May 29 (SMM) – On Monday, mainstream traded prices for Jinchuan nickel were RMB 126,800-127,000/mt in the Shanghai nickel market, and RMB 124,700-124,900/mt for Russian nickel. Due to the lack of a clear market trend, downstream producers were wary of purchases, leading to moderate transactions.
According to the latest SMM survey, approximately 40% market players expect nickel prices to rebound this week. The Greek opinion polls show that pro-bailout New Democracy party claimed a slight lead over anti-bailout Syriza party. In addition, the US dollar index fell back, reducing downward pressures on nickel prices.
About 40% market players believe nickel prices to drop this week, since no improvement in domestic demand will not support demand for refined nickel. Besides, the yield on Spain and Italy’s 10-year bonds remain high, and concerns over the European debt issues remain. Moreover, LME nickel inventories continue to grow, a sign of weak consumption.
The remaining 20% market players expect nickel prices to keep fluctuating and wait for further news.