Spot price of nickel chloride on 21 April 2020

[10.8 Morning Meeting Minutes] Expectations for US Fed interest rate hikes cooled marginally, but long-term yields hit new multi-year highs. Williams said another rate hike later this year is possible "but there is no need to rush into action," while Barr, Musalem, and other officials reiterated their hawkish stance. Market pricing for an October hike pulled back from around 70% to roughly 50%. However, the 30-year Treasury yield briefly topped 5.6%, the highest since 2002, while the 10-year held steady at 5.23%. The US dollar index rose 0.19% to 101.38, leaving rate-side pressure unresolved. The most-traded SHFE nickel 2611 contract opened lower and trended down in early trading, closing the morning session at 121,830 yuan/mt, down 1.00%. Although US-Iran negotiations pulled oil prices back, inflation pressure has not eased. With the 30-year Treasury yield above 5.6% and the dollar above 101, rate-side pressure persists. Combined with nickel's own high inventory and weak demand, the overall trend remains under pressure. In the short term, the most-traded SHFE nickel contract is expected to trade in the range of 121,000-125,000 yuan/mt.