SHANGHAI, Mar. 18 (SMM) - LME nickel prices opened at USD 15,760/mt overnight, with the high end of the price range USD 15,990/mt, and finding support at USD 15,660/mt. Finally, LME nickel prices closed at USD 15,949/mt, up USD 172/mt from the previous trading day. Trading volumes decreased by 424 lots, to 4,143 lots, and total positions increased by 3,270 lots to 200,255 lots. Inventories fell by 204 mt, to 270,810 mt.
New York Fed's manufacturing index in March was 5.61, better than February's but fell short of expectations, and February industry output was 0.6%, also worse than expected. US economic data recovery has been slow, weighing down the US dollar index and giving some support to base metals prices. Total positions of LME nickel breached 200,000 lots, with prices meeting resistance at USD 16000/mt, closing the day up 1.09%.
LME nickel prices will test support from USD 16000/mt and find support at the 5-day moving average, moving between USD 15,750-16,000/mt today, and spot nickel prices in Shanghai will hover between RMB 95,300-96,300/mt.