Nickel--Prices fall to lowest level in 2 years due to weak demand...

摘要

LME nickel prices have reached fresh lows over the last month. The official cash quote, having hovered at levels close to 23,000-24,000 dollars/t in mid-June, moved decisively lower in early July, reaching a low of 20,305 dollars/t on July 16. This is the lowest nickel price seen for more than two years and though much of the recent slide has been due to fund selling, the physical market fundamentals remain unsupportive of a reversal of the trend. Despite a significant level of disruption to nickel supplies this year, renewed weakness in the stainless steel sector is dominating the near term picture for the market. The onset of the seasonally slow summer months for stainless demand is compounding the need for production curtailment among the mills, resulting in lacklustre demand for nickel and depressed market sentiment.