[SMM Nickel Sulphate Daily Review] January 16: High Immediate Production Costs Keep Nickel Sulphate Prices Stable

On January 16, 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; the average price held flat from the previous day.

Cost side, nickel prices saw a significant correction amid a tug-of-war between fundamentals and expectations, but the immediate production cost for nickel salt remained high; Supply side, some nickel salt producers significantly raised their quotations recently, influenced by expectations of rising raw material costs; Demand side, after a period of destocking, some precursor manufacturers had certain just-in-time procurement needs, but due to high spot prices, some manufacturers adopted a wait-and-see strategy. Today, the Willingness to Sell Sentiment Factor for upstream nickel salt smelters was 2, the Procurement Sentiment Factor for downstream precursor plants was 2.8, and the Sentiment Factor for integrated enterprises was 2.4 (historical data is available in the database).

Looking ahead, as nickel price fluctuations are significant, current market trading sentiment is weak; if nickel prices can hold up well, it may provide cost support for nickel salt prices.

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