Nickel Prices Likely to Drop on Expanding Supply

Published: May 18, 2023 09:26

Source: SMM

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The spot nickel premiums rose yesterday on low market supply.

SHANGHAI, May 18 (SMM) - The spot nickel premiums rose yesterday on low market supply. NPI plants held their quotes firm amid low in-plant inventory although nickel futures prices crashed. But some traders cut their quotations only slightly amid high costs and low spot stocks. On the demand side, according to SMM research, driven by the sharp drop in futures prices, the spot stainless steel prices fell further yesterday. Short-term stainless steel spot prices will decline amid the expected growth in supply. To sum up, nickel prices stood low as the trades were made amid the economic recession, but spot trading picked up. The spot supply will grow further with the inflow of spots for warrant delivery.

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