[SMM Nickel Sulphate Daily Review] November 24: Increased Supply from Refined Nickel Conversion Puts Nickel Salt Prices Under Pressure

On November 24, the SMM battery-grade nickel sulphate index price was 27,807 yuan/mt, with the quotation range for battery-grade nickel sulphate at 27,900-28,100 yuan/mt; the average price declined compared to the previous day.

Cost side, LME nickel prices showed a technical rebound after a continuous decline, but the immediate production cost for nickel salt smelters overall remained low recently. Supply side, some enterprises recently showed an inclination to switch refined nickel production to nickel salt, creating expectations of relatively loose raw material supply in the market; coupled with weakened cost support, nickel salt quotations softened. Demand side, nickel salt procurement sentiment was relatively sluggish recently; while the month-end procurement period is approaching, price acceptance has not increased. Today, the upstream nickel salt smelters' Willingness to Sell Sentiment Factor was 1.7, the downstream precursor plants' Procurement Sentiment Factor was 2.7, and the integrated enterprises' Sentiment Factor was 2.7 (historical data is available by logging into the database).

Looking ahead, with no significant increase in downstream demand, rising nickel sulphate supply is expected to exert some pressure on prices.

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