Dropping Nickel production will push prices higher: BNP Paribas

UNITED STATES April 25 2014 2:16 PM

LONDON (Scrap Register): Dropping global finished nickel production will push prices higher, said BNP Paribas.

BNP Paribas forecasts total world finished nickel product will fall by 2% to 2.5% in 2014, and by another 4% in 2015. World nickel demand growth will slow, however, and only rise 3% to 4% per year in 2014 and 2015.

A supply deficit is expected to emerge in the second half of the year, but it depends on whether or not Indonesia lifts its ban on exports.

BNP Paribas is retaining its April forecasts for prices to reach $16,250 a metric ton in 2014 and $18,500 in 2015.