Imports of Pure Nickel Turned Profitable this Week, while Inventory in Bonded Zone Declined Slightly

Published: May 20, 2022 17:05 (GMT+8)

Source: SMM

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From Monday to Wednesday, LME nickel prices dropped, and SHFE nickel remained rangebound due to the tight supply.

SHANGHAI, May 20 (SMM) - From Monday to Wednesday, LME nickel prices dropped, and SHFE nickel remained rangebound due to the tight supply. Under this background, pure nickel imports turned profitable, even though LME nickel rebounded sharply on Thursday night. Nickel inventory in Shanghai bonded zone totalled 8,600 mt this week, a decrease of 200 mt from last week. The inventory of nickel briquettes and nickel plates was 2,900 mt and 5,700 mt respectively. Due to the high spot premiums and the weak demand, the bonded zone inventory did not drop sharply when the import window was opened. Therefore, the current import profits could not cover the premiums.

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The above representation and data is based on market information SMM believes to be reliable at the time of acquiring as well as the comprehensive assessment by SMM research team, and any and all information provided in this article is for reference only. This article does not constitute a direct recommendation for investment or any decisions in any form and clients shall act on their own discreet and any decisions made by clients are not within the responsibility of SMM.

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Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

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