SHANGHAI, May 22(SMM) – HSBC’s May PMI for China hit a two-month high of 49.1, meaning China’s stimulus measures have shown some results. Falling crude oil inventories in Cushing, ongoing tensions in Iraq and weakening US dollar index compounded to support crude oil prices. WTI crude oil prices jumped 3% to close at USD 60.72/bbl. LME nickel prices opened at USD 13,100/mt Thuresday, then touched USD 13,220/mt. During European and US trading session, LME nickel prices fell and dipped to USD 12,930/mt, but surged again to USD 13,285/mt, and closed at USD 13,030/mt, up 0.38%. Trading volumes increased 7,197 lots to 13,195 lots, and total positions grew 1,582 to 223,095. LME nickel inventories were up 228 mt to 446,868 mt.
LME nickel prices are expected to drop today. SHFE 1507 nickel contract prices rose RMB 380/mt Wednesday evening. Spot nickel prices in Shanghai will move between RMB 96,500-100,500/mt today.