Bloomberg News reported that London nickel prices may rise in the coming months on the back of slower stockpile buildups caused by lower nickel pig iron output.
Nickel pig iron output cuts are likely at current prices and could balance the market, Goldman Sachs analysts including Max Layton and Roger Yuan wrote in a recent report. The Philippine monsoon season will cut supply, boosting ore prices and the production cost of nickel pig iron, or NPI, through February, according to the analysts.
At $15,810 per metric ton, the nickel spot price moved up 3.3% on Monday, November 3, making it the day’s biggest mover on the LME. Yesterday, the 3-month price of nickel experienced a large increase, rising 3.2% on the LME to land at $15,890 per metric ton. The cash price of primary Indian nickel held steady around INR 976.30 ($15.93) per kilogram.
Chinese stainless steel prices were flat for the day. The price of Chinese ferro-chrome saw essentially no change for the fifth day in a row, remaining around CNY 8,300 ($1,351) per metric ton. For the fifth day in a row, the price of Chinese ferro-moly remained essentially flat at CNY 145,000 ($23,609) per metric ton.
The Allegheny Ludlum 316 stainless surcharge saw little movement at $1.06 per pound. The price of Chinese 316 stainless coil continues hovering around CNY 26,000 ($4,233) per metric ton for the fifth day in a row. For the fifth consecutive day, the price of Chinese 304 stainless coil held flat at CNY 16,400 ($2,670) per metric ton. The price of Chinese 316 stainless steel scrap was unchanged at CNY 16,100 ($2,621) per metric ton. The price of Chinese 304 stainless steel scrap held steady at CNY 16,400 ($2,670) per metric ton.