The nickel prices still have the potential to rise in the short term
2017-11-08 16:23 Foshan Gangtuo Import and Export Co. Ltd
The rise in U.S. stocks has boosted the sentiment of market. The LME nickel has rose 1.9 % on Monday and it was closed at a near 29-month high. China's pollution policies have led to a decline in nickel iron production and a tight market supply.
News of nickel futures, the US are plan to cut the corporate taxes has boosted the stock market and its price has rasied to a record high. The latest closing price of the LME nickel was at $12950 and it has up for $240. On Monday night the price of Shanghai's nickel was volatile and the latest closing price of the main month 1801 contract was up for 1,230 yuan and quoted at 102,970 yuan.
On Tuesday, the opening quotation for the main month of the Shanghai nickel’s 1801 contract was $103,220 and it has up for 1480 yuan. On the day of 09:40, the shanghai-nickel’s 1709 contract has reached 102,680 yuan and up for 940 yuan. The price of nickel has returned to the rally and the current offer is near a 29-month high. The futures nickel prices are expected to remain high while spot nickel prices may continue to rise.
The release of the house royalty reform plan and the U.S. economic data will keep the dollar on the upward trend even though the non-farm data are not as good as expected. But the outlook for tax reform and uncertainty among members of the FED's monetary policy committee will lead traders to be cautious and to influence the dollar's slight decline. The prices for nonferrous metals will keep it’s strength and it is expected to continue to rise. Although the downstream consumption has appears to be seasonal in light but the position of holdings is basically unchanged and it has indicating that the market is optimistic about future consumption.