SMM Morning Comment For Nickel Market On November 7

Published: Nov 07, 2023 09:55 (GMT+8)

Source: SMM

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Overnight, the most-traded SHFE nickel contract opened at 142830 yuan/mt, and closed at 142840 yuan/mt, up 10 yuan/mt. Trading volume increased by 20705 lots, and open interest decreased by 3319 lots.

SHANGHAI, November 7(SMM) –Overnight, the most-traded SHFE nickel contract opened at 142830 yuan/mt, and closed at 142840 yuan/mt, up 10 yuan/mt. Trading volume increased by 20705 lots, and open interest decreased by 3319 lots. On the macro front, the United States released two important data last Friday: the U.S. unemployment rate in October and the seasonally adjusted U.S. non-farm payroll employment in October recorded 3.9% (higher than market forecast and previous value) and 150,000 (lower than the market forecast and previous value) respectively. This reflects that the U.S. job market has softened, reducing the possibility that the Federal Reserve will continue to raise interest rates in the future. From a fundamentals perspective, the trend of pure nickel inventory accumulation remains unchanged, and downstream demand has not yet improved. Yesterday’s spot market transactions were still weak. However, due to the positive macro sentiment, it is expected that nickel prices may rebound slightly in the future.

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