More big gains pushed nickel past $19,000 a metric ton on the LME this week. MetalMiner Lead Forecaster Raul De Frutos believes this could be a bull market for LME nickel. Both Vale and Glencore Xstrata cut production this week in their New Caledonia mines further exacerbating supply concerns.
Bloomberg also predicted a further 20% rise this year in the LME price of nickel this week.
The week’s biggest mover on the weekly Stainless MMI® was the Indian nickel cash price, which saw a 10.1 percent increase to INR 1,223 ($20.40) per kilogram. This comes on the heels of a 1.9 percent decline the week prior. The 3-month price of nickel rose 7.4 percent on the LME to $19,405 per metric ton after falling 2.1 percent during the previous week. The nickel spot price rose 7.3 percent on the LME to $19,380 per metric ton after falling 2.0 percent during the previous week.
Chinese stainless steel prices were mixed for the week. At CNY 8,300 ($1,333) per metric ton, the week finished with no movement for Chinese ferro-chrome. Chinese ferro-moly prices held steady from the previous week at CNY 145,000 ($23,283) per metric ton.
The price of Chinese primary nickel rose 6.5 percent over the past week to CNY 132,800 ($21,324) per metric ton. This was the fourth week in a row of increasing prices. Prices for Chinese 304 stainless steel scrap remained constant, closing the week at CNY 16,400 ($2,633) per metric ton. Closing at CNY 16,100 ($2,585) per metric ton, Chinese 316 stainless steel scrap remained unchanged for the week. At CNY 16,400 ($2,633) per metric ton, the price of Chinese 304 stainless coil did not change since the previous week. Following a steady week, prices for Chinese 316 stainless coil closed flat at CNY 26,000 ($4,175) per metric ton.
At KRW 4.2 million ($3,881) per metric ton, the price of Korean 304 stainless coil did not change since the previous week. Closing at KRW 2.6 million ($2,376) per metric ton, Korean 430 stainless steel coil remained unchanged for the week. The Allegheny Ludlum 304 stainless surcharge closed at $0.79 per pound after a flat week. Following a steady week, prices for the Allegheny Ludlum 316 stainless surcharge closed flat at $1.16 per pound.
The Stainless MMI® collects and weights 14 global stainless steel and raw material price points to provide a unique view into stainless steel price trends. For more information on the Stainless MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.