NCM precursor prices are expected to have minimum downside room

NCM precursor prices were stable in the week ending April 18. Optimism over end-user market drove NCM cathode makers to purchase precursor, thereby motivating precursor producers to raise their schedule production. Despite cost relief from lower cobalt prices, precursor producers still suffer losses. Underpinned by nickel prices and downstream demand, precursor prices should have minimum downside room.