SMM Morning Comment For Nickel Market On January 25

Overnight, the most-traded SHFE nickel contract opened at 130000 yuan/mt, and closed at 129780 yuan/mt, up 130 yuan/mt. Trading volume rose 28359 lots, and open interest decreased by 34389 lots. The inflation indicator favoured by the Federal Reserve will be released on Friday, and traders' expectations for a March interest rate cut have "cooled". In addition, the Bank of Japan stated at the meeting that it will continue to maintain ultra-loose monetary policy. LME nickel inventory fell slightly by 96 mt. Nickel price is expected to swing on a strong note.