SMM Morning Comment For Nickel Market On November 9

SHANGHAI, November 9(SMM) –Overnight, the most-traded SHFE nickel contract opened at 140740 yuan/mt, and closed at 141240 yuan/mt, down 210 yuan/mt. Trading volume rose 66506 lots, and open interest increased by 412 lots. On the macro front, the US unemployment rate data released last Friday was lower than expected, the current weakness in the U.S. job market will provide some support for ending the process of the Federal Reserve's interest rate hike. However, yesterday's hawkish speech by Federal Reserve officials led to growing market expectations for a December Federal Reserve interest rate hike. From a fundamentals perspective, the trend of pure nickel inventory accumulation remains unchanged, and downstream demand has not yet improved. Yesterday’s spot market transactions were still weak. However, due to the positive macro sentiment, it is expected that nickel prices may rebound slightly in the future.