Nickel Daily: LME nickel prices show strength, supported by low inventory levels and positive macro sentiment

Last week, LME nickel prices showed strength, supported by low inventory levels and positive macro sentiment, while SHFE nickel and physical spot prices struggled to follow the upward trend, constrained by weak fundamentals. Nickel ore prices performed strongly overall last week. Philippine mine offers rose sharply, fueling strong bullish sentiment in the market. However, downstream nickel pig iron (NPI) smelters saw only marginal profit increases, leading to low acceptance of the high-priced ore. In the refined nickel sector, high prices dampened downstream procurement, resulting in generally tepid trading. Spot premiums for Jinchuan material declined as its list price moved lower. Nickel sulfate prices edged lower last week amid quiet trading. While strong nickel prices provided firm cost support for nickel sulfate via its key upstream feedstock, MHP, purchasing willingness from downstream precursor manufacturers remained weak.

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