SHANGHAI, Sep. 13 (SMM) – SMM surveyed 30 market participants to find that 5 are bullish toward nickel price this week, 19 are neutral and 11 are bearish.
About 63% are neutral, seeing LME nickel hover between USD 10,100-10,350/mt. SHFE 1701 nickel will fluctuate between RMB 80,000-81,500/mt. Spot nickel in China is expected to range between RMB 78,500-80,000/mt. US ISM non-manufacturing index fell short of market expectations, while China’s Caixin service PMI topped market expectations. Foreign trade data were also upbeat. Medium-grade NPI prices rose slightly last week, helped by coke prices. Eastern Special Steel and Yongxing Special Steel restarted last week. But #300 stainless steel prices rose thanks to the onset of the high-demand season. Meanwhile, #300 stainless steel inventories in Wuxi and Foshan had been depleted, and stock replenishment was reported. Stainless steel plants restarted production following the G20 Summit. Demand for #200 stainless steel in Jiangsu and Zhejiang was released after the Summit, but failed to help improve overall trading. Traders mostly lowered prices to push sales, while stainless steel plants held their quotes firm. #200 stainless steel prices are expected to rise slightly in the coming week.
About 37% are bearish, expecting LME nickel to fall to USD 9,900-10,100/mt. SHFE 1701 nickel should fall to RMB 78,000-80,000/mt, and spot nickel will slide to RMB 77,000-78,500/mt. The US dollar index rose while crude oil fell. Asian stocks dropped, dragging down base metals. SHFE January nickel plunged below RMB 78,500/mt on Monday. Besides, nickel ore inventories at the seven ports of China continued to grow.