Nickel Prices Surge Beyond $19,000 Mark

Release Time:

23 Apr,2024

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Nickel prices have soared past the $19,000 mark at the onset of trading on the LME, marking a more than 3.5% increase.

Nickel Prices Surge Beyond $19,000 Mark

Nickel prices have soared past the $19,000 mark at the onset of trading on the LME, marking a more than 3.5% increase. Concurrently, stainless steel prices in Asia are witnessing a steady ascent in response to prevailing market conditions.

Breaking the $19,000 Barrier

Despite recent attempts by forecasters and experts to dampen nickel prices with inaccurate predictions, the market has defied such projections yet again.

Impact of Sanctions and Market Dynamics

Following the imposition of new sanctions by the US and UK on Russian raw materials, including a ban on trading Russian nickel, aluminum, and copper from new production on exchanges like CME and LME, prices witnessed a significant surge on Monday.

External Factors Drive Price Volatility

Political and economic developments, coupled with challenges related to nickel ore stocks in Asia and operational issues in nickel mines in Brazil and New Caledonia, have propelled nickel prices above $19,000/MT at the commencement of trading on the LME.

Inventory Dynamics and Price Trends

Our forecasts regarding the trajectory of nickel prices have materialized, as there's still no indication of a substantial stock buildup in LME warehouses. Given recent inventory trends, prices could surpass $20,000/MT.

Response of Stainless Steel Prices in Asia

Reflecting the prevailing market dynamics, prices for Asian stainless steel surged by $50 to $60/MT on Friday, with the potential for further increases in the near future.