SMM Morning Review - 2012/6/13 Nickel Market

SMM Insight 10:46:16AM Jun 13, 2012 Source:SMM

SHANGHAI, Jun. 13 (SMM) – LME nickel prices last Friday opened at USD 17,200/mt, with the high end USD 17,415/mt, finding support at USD 16,958/mt. Finally, LME nickel prices closed at USD 17,085/mt, down USD 168/mt. Trading volumes increased by 24 lots to 3,666 lots, and total position was 117,108 lots, up 124 lots. LME nickel inventories were 104,334 mt, down 150 mt.

Spanish 10-year government bond yields rose by 6.5%, while Italian 10-year government bond yields also climbed by 6.01%. Meanwhile, the spokesman of Spanish prime minister said European central bank's monetary policy is unfavorable for Spain, and Spain will not need the EUR 100 billion of bailout funds, causing optimism to weaken. Finally, LME nickel prices fell and closed at USD 17,085/mt, down USD 168/mt.

LME base metals prices closed with gains as Spanish government bond yields hit a record high since the issuance of euro, and market concerns eased due to positive statement by the vice president of European central bank. But since Standard & Poor's expressed concerns over Greece's exit, base metal prices were constrained.

In this context, LME nickel prices should move between USD 16,800-17,250/mt today, and domestic spot nickel prices should move between RMB 121,000-124,500/mt.

 

SMM Morning Review - 2012/6/13 Nickel Market

SMM Insight 10:46:16AM Jun 13, 2012 Source:SMM

SHANGHAI, Jun. 13 (SMM) – LME nickel prices last Friday opened at USD 17,200/mt, with the high end USD 17,415/mt, finding support at USD 16,958/mt. Finally, LME nickel prices closed at USD 17,085/mt, down USD 168/mt. Trading volumes increased by 24 lots to 3,666 lots, and total position was 117,108 lots, up 124 lots. LME nickel inventories were 104,334 mt, down 150 mt.

Spanish 10-year government bond yields rose by 6.5%, while Italian 10-year government bond yields also climbed by 6.01%. Meanwhile, the spokesman of Spanish prime minister said European central bank's monetary policy is unfavorable for Spain, and Spain will not need the EUR 100 billion of bailout funds, causing optimism to weaken. Finally, LME nickel prices fell and closed at USD 17,085/mt, down USD 168/mt.

LME base metals prices closed with gains as Spanish government bond yields hit a record high since the issuance of euro, and market concerns eased due to positive statement by the vice president of European central bank. But since Standard & Poor's expressed concerns over Greece's exit, base metal prices were constrained.

In this context, LME nickel prices should move between USD 16,800-17,250/mt today, and domestic spot nickel prices should move between RMB 121,000-124,500/mt.