SHANGHAI, Aug. 13 (SMM) – LME nickel prices tumbled on continuous RMB deprecation.
LME nickel prices opened at USD 10,745/mt, but as the RMB exchange rate was lowered further, shorts prevailed in the market. LME nickel prices thus plunged by nearly 14%, dipping to as low as USD 9,100/mt at one point, but rallied to USD 10,400/mt.
During European and US trading session, LME nickel prices clawed back some losses and closed at USD 10,600/mt, down 0.93%. Trading volumes increased 2,346 lots to 10,976 lots, and total positions added 3,427 to 229,073. LME nickel inventories fell 2298 to 454,410 mt.
LME nickel prices are expected to fall further today. SHFE 1509 nickel contract prices rose RMB 500/mt Wednesday evening, and should move between RMB 81,800-83,000/mt today. Spot nickel prices in Shanghai will rise to RMB 81,800-82,700/mt.