Nickel highlights

摘要

Nickel prices have struggled over the past months as the predictions of unusually strong demand from the stainless steel industry during the normally slow third-quarter summer holiday season failed to materialise. Stainless steel mills clearly over-estimated the demand for their products from their customers over the summer months, and now are reducing their nickel consumption. After spending much of July in excess of 15,000 dollars/tonne (6.80 dollars/lb), LME nickel prices have since receded as LME inventories rose sharply. In August, LME three-month prices wavered between 12,600-14,100 dollars/tonne (5.70-6.40 dollars /lb), ending the month at the lower end of the range, before dropping still further in the early days of September. At the time of writing on September 3, official three-month prices stood at 12,325 dollars/tonne (5.59 dollars/lb), and look to be heading towards May's low of 10,495 dollars/tonne (4.76 dollars/lb). Fluctuations in LME nickel stocks have been largely responsible for the volatility in prices over the past month. LME inventories in early August rose above 10,000 tonnes, however, they quickly tumbled back to around 8,500 tonnes by mid-month. But by the end of August, LME inventories jumped back above 11,000 tonnes for the first time since May, prompting the latest downturn in nickel prices. LME warehouses in Rotterdam and Liverpool have received the vast majority of the recent deliveries.