Nickel Prices Fluctuated After Early Decline [SMM Spot Nickel Midday Review]

SMM March 20 News:

Spot Premiums/Discounts: The quotation range for the mainstream spot premiums of Jinchuan No. 1 nickel was 1,800-1,900 yuan/mt, with an average premium of 1,850 yuan/mt, up 50 yuan/mt from the previous trading day. The premiums and discounts quotation range for Russian nickel was -200 to 100 yuan/mt, with an average discount of -50 yuan/mt, unchanged from the previous trading day.

Futures: Nickel prices showed a fluctuating trend at the opening today. By 11:30, the closing price was 129,686 yuan/mt, down 1.31% from the previous trading day's settlement price, with the lowest point reaching 127,940 yuan/mt.

In terms of spot premiums and discounts, the Jinchuan brand nickel rose by 50 yuan compared to the previous trading day. This increase was mainly due to the lower night session, leading traders to appropriately raise premiums in pursuit of profit.

From a technical perspective, SHFE nickel futures contracts showed a downward trend after the opening, possibly because the speculative sentiment regarding Indonesia had cooled, leading some long positions to reduce their holdings. With prices falling back below the 130,000 yuan/mt level, the overall market sentiment appeared cautious.

Regarding the price spread with nickel sulphate: Today, the SMM No. 1 refined nickel price ranged from 127,800 to 131,000 yuan/mt, with an average price of 129,400 yuan/mt, down 1,625 yuan/mt from the previous trading day's spot price. The price spread was 1,673 yuan/mt (Ni contained), with nickel sulphate still at a discount to refined nickel.