Sherritt International, a Canadian nickel miner with operations in Madagascar and Cuba, said it expects the price of the metal to rally as the market swings to deficit as soon as next year.
“On longer-term supply and demand fundamentals, which ultimately have to govern here, we think we’re going to move from several years of surpluses to a period of a few years of probably supply deficits,” Sherritt Chief Executive Officer David Pathe told Business News Network Canada.
“And that will be positive for the nickel price.”
At INR 981.70 ($16.01) per kilogram, the cash price of primary Indian nickel moved up 4.7% on Friday, November 7, making it the day’s biggest mover. After falling for two days, the 3-month price of nickel rose 2.0% on the LME to $15,325 per metric ton. The nickel spot price is back up, rising by 1.8% on the LME last Friday to close at $15,250 per metric ton.
Chinese stainless steel prices closed flat for the day. The price of Chinese ferro-chrome saw little movement at CNY 8,300 ($1,351) per metric ton. The price of Chinese ferro-moly held steady at CNY 145,000 ($23,609) per metric ton.
The Allegheny Ludlum 316 stainless surcharge saw essentially no change for the fifth day in a row, remaining around $1.06 per pound. For the fifth day in a row, the price of Chinese 316 stainless coil remained essentially flat at CNY 26,000 ($4,233) per metric ton. 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 continues hovering around CNY 16,100 ($2,621) per metric ton for the fifth day in a row. The price of Chinese 304 stainless steel scrap was unchanged at CNY 16,400 ($2,670) per metric ton.