Nickel Prices Continued to Fluctuate Upward, Nickel Salt Prices Rose This Week
As of Friday this week, the SMM battery-grade nickel sulphate index price was 33,393 yuan/mt, with the quotation range for battery-grade nickel sulphate at 32,700-34,500 yuan/mt, and the average price rose further WoW.
Demand side, after previous destocking and with the Chinese New Year stockpiling period approaching, some producers had procurement demand recently. However, due to significant fluctuations in nickel prices, transactions this week were mostly just-in-time procurement. Supply side, nickel prices climbed further this week, intensifying producers' concerns about rising raw material costs. Some producers had a strong willingness to hold prices firm, while others stopped offering quotations, leading to a relative decrease in the volume of nickel sulphate available for sale in the market. Looking ahead, nickel prices are expected to continue fluctuating upward, providing cost support for nickel salt prices in the short term, but subsequent nickel price trends still need to be monitored.
Inventory side, the inventory index for upstream nickel salt smelters decreased from 5.2 days to 5 days WoW, while the inventory index for downstream precursor plants remained at 9.1 days. Some downstream producers engaged in restocking recently, and the inventory index for integrated enterprises held steady at 7.3 days. On the buying and selling strength side, the Willingness to Sell Sentiment Factor for upstream nickel salt smelters remained at 2.0 WoW, the procurement sentiment factor for downstream precursor plants dropped from 2.9 to 2.8, and the sentiment factor for integrated enterprises stayed at 2.4. (Historical data can be queried in the database.)
Nickel Prices Continued to Rise This Week, Nickel Salt Production Costs Increased Significantly
Cost side, the MHP raw material market was relatively tight, and MHP payables remained high this week. Nickel price side, nickel prices fluctuated upward this week, stimulated by potential adjustments to Indonesia's nickel ore policy. Overall, nickel prices rose further WoW, while MHP payables remained stable, driving a significant increase in the immediate production costs of nickel salts compared to last week.
![[SMM Analysis] Influenced by macro sentiment, MHP and high-grade nickel matte prices declined this week.](https://imgqn.smm.cn/usercenter/CWsEw20251217171732.jpeg)
