Nickel Prices to Run under Pressure

Published: Mar 16, 2023 09:35

Source: SMM

Save

On the supply side, due to the delivery of the SHFE 2303 nickel yesterday, the upstream companies were less willing to ship, and the spot transactions fell short of expectations.

SHANGHAI, Mar 16 (SMM) - On the supply side, due to the delivery of the SHFE 2303 nickel yesterday, the upstream companies were less willing to ship, and the spot transactions fell short of expectations. In terms of NPI, a large NPI plant in Indonesia planned to cut production, which may ease the oversupply. On the demand side, according to SMM research, the SS contract prices went up overnight. Spot quotations rose slightly in the morning, and the transactions were acceptable. A stainless steel mill in east China offered a new stainless steel price in south China, which was lower than the weekly price, which failed to boost the downstream orders. Alloy companies mainly purchased on demand amid poor orders. To sum up, the pure nickel sector faces weak supply and demand, weighing on nickel prices.

Spot Futures Market Market

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.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

3 mins ago

High-Grade NPI Smelter Profits Squeezed as Ore Prices Rise and Sales Prices Dip

[SMM Nickel Flash] Based on nickel ore prices from 25 days ago, smelter profits for high-grade NPI remained high this week. However, from the current raw material side, ore prices from both the Philippines and Indonesia increased, while auxiliary material prices saw a slight pullback, leading to an increase in the cash cost of producing high-grade NPI from spot ore. At the same time, high-grade NPI prices experienced some pullback, making it difficult for smelter profits to see sustained improvement.

3 mins ago

5 mins ago

High-Grade NPI Prices Fall, Expected to Stabilize as Chinese New Year Approaches

[SMM Nickel Flash] This week, due to a sharp decline in futures triggering arbitrage selling, high-grade NPI prices fell significantly. However, after the selling activity subsided, upstream quotations and the market center gradually returned to normal levels, supported by cost factors. Looking ahead, as the Chinese New Year holiday approaches, market activity is expected to remain subdued, and high-grade NPI prices are projected to hover at highs with limited fluctuations.

5 mins ago

6 mins ago

Nickel Prices Drop: SMM 10-12% High-Grade NPI Down 17.2 Yuan, Indonesia NPI FOB Index Falls 2.06 $/mtu

[SMM Nickel Flash] The SMM average price of 10-12% high-grade NPI fell 17.2 yuan/mtu WoW to 1,035.8 yuan/mtu (ex-factory, tax included), while the Indonesia NPI FOB index average price dropped 2.06 $/mtu WoW to 131.2 $/mtu. At the beginning of the week, futures hit limit-down, and nickel prices fell sharply WoW, driving the emergence of arbitrage supplies sold at low prices, leading to a significant decline in high-grade NPI prices.

6 mins ago