SHANGHAI, Oct 18 (SMM) - In September, the prices of nickel ore went down. The monthly average price of Ni 1.5% medium-grade nickel ore was $68.3/wmt CIF, a drop of $0.2/wmt MoM, and that of Ni 1.8% high-grade nickel ore was $103.8/wmt CIF, down $1.5/wmt MoM. In the first half of September, the nickel ore market was in a stalemate. The stainless steel and NPI markets gradually recovered, but downstream buyers rejected higher nickel ore prices due to thin profits. In the second half of the month, NPI plants began to stock up ahead of the rainy season, allowing the prices of nickel ore to fluctuate upwards.
In early October, nickel ore prices inched higher as shipments from the Philippines dwindled after entering the rainy season. Nickel ore market maintained a tight balance amid slightly rising NPI output. However, market players hold conservative expectations for the stainless steel market outlook. Cheaper Indonesian NPI will continue to compete with Chinese NPI. Domestic NPI plants will resist nickel ore price hike following the rise in auxiliary material prices. In October, the prices of Ni 1.5% nickel ore are expected to trade around $72-78/wmt.
