SHANGHAI, Jun. 24 (SMM) - On Tuesday, Jinchuan Group cut ex-works prices for refined nickel to RMB 102,000/mt (large panel), and to RMB 103,200/mt (small in barrel), both down RMB 4,500/mt. In the Shanghai nickel spot market, #1 nickel averaged RMB 99,480/mt, down RMB 2,370/mt from a week earlier. Spot nickel prices retreated below RMB 100,000/mt in response to sharp declines in electronic traded prices. The price quoted by Jinchuan Group on Thursday was RMB 99,000/mt, and was the first time since April 2009 that Jinchuan nickel prices were below RMB 100,000/mt. At that time, LME nickel prices were around USD 10,900/mt, but current LME nickel prices are around USD 14,000/mt, and would indicate that China’s domestic nickel prices are feeling the effect of a long-term supply surplus and NPI market. Continuous price declines left downstream producers on the sidelines last week, but arbitrage opportunities in electronic trading markets still provided trading opportunities. Overall trading was still quiet, however.
For queries, please contact Michael Jiang at michaeljiang@smm.cn
For more information on how to access our research reports, please email service.en@smm.cn