SMM

Last week, refined nickel prices fluctuated upward, ranging from 124,000 to 130,000 yuan/mt. Fundamentals, there were no significant structural changes compared to the previous week. From the perspective of the nickel industry chain, current demand shows no significant improvement. The procurement activity for NPI by stainless steel and nickel sulphate by ternary cathode precursors remains low. During the week, nickel sulphate prices remained stable with a weak trend, while NPI prices saw a slight correction. On the fundamentals of refined nickel, demand from downstream alloy, casting, and electroplating sectors was weak, and the shipment of nickel plates was low. Additionally, with the price increase during the week and stable premiums/discounts, the stocking costs for downstream manufacturers have risen, resulting in overall low stocking enthusiasm. Currently, the speculation in the nickel industry chain is still focused on the nickel ore end. With the future policies remaining unclear, the market continues to trade on the tight supply of nickel ore. Therefore, SMM expects that nickel prices will still fluctuate at a relatively high level this week, but with limited upward space due to weak fundamentals. The expected range is 128,000 to 133,000 yuan/mt.