SHANGHAI, May 26 (SMM) – Monday night, SHFE 1507 nickel opened at RMB 99,670/mt without LME nickel’s guide and then surged above RMB 100,000/mt to reach RMB 101,790/mt. The metal ended up 2.02% at RMB 101,490/mt.
The July delivery nickel started higher at RMB 101,500/mt Tuesday and then fell back, sending Shanghai/LME nickel price ratio down. Later, the contract slipped fast on strong US dollar after rebounding modestly as support at RMB 100,000/mt emerged, to finish at RMB 100,010/mt, up 0.53%. Trading volumes were down 59,954 to 550,000 lots whereas positions rose 296 to 115,000.
SHFE 1507 nickel should drop further tonight in response to falling LME nickel prices as LME inventories grew over 8,000 mt.