LME’s nickel prices hike on Aug 12

The London Metal Exchange (LME) nickel futures price hiked by US$205/ton and closed at US$16,355/ton on August 12. Meanwhile, the nickel spot price also went up by US$200/ton to US$16,095/ton. The nickel inventory at LME kept flat at 112,404 tons. With the US ISM Services PMI reaching 51.4 in July and the employment index returning to expansion, concerns about the US labor market have diminished. Meanwhile, rising mineral prices in the Philippines and a tight supply of nickel ore from Indonesia kept ferronickel prices firm, while steady LME nickel inventories drove nickel prices higher. According to market participants, despite the relatively weak demand for stainless steel in China, strong cost support could lead to short-term fluctuations in nickel prices, which will still largely be determined by macroeconomic factors.