1. Trend analysis
On the 19th, spot nickel was quoted at RMB 121,850/ton, down 1.75% from last Friday, down 4.9% from the beginning of the year, and up 24.17% year-on-year.
2. Market analysis
Nickel prices fell weakly, mainly because the President of the Philippines cancelled the nine-year ban on new minerals agreements since 2012 to increase government revenue. The current supply of nickel ore in the Philippines is tight and miners are profitable. This may stimulate the Philippines’new Increase mine supply. In addition, after the rainy season ends in the Philippines, supply is expected to increase, putting pressure on nickel prices. The price of downstream stainless steel also slightly corrected, but the profit of stainless steel production turned negative, and the space below the price of stainless steel was limited.
3. Market outlook forecast
The recent macroeconomic positive factors still exist, and certain unfavorable factors appear on the industrial side. However, nickel and stainless steel are supported to a certain extent, and the follow-up should not be overly pessimistic. The nickel market outlook is expected to be volatile and weak.
