Price trend

This week (2.1-2.8), the nickel market continued to fluctuate at a low level, and the upward trend of nickel prices continued after the holiday. According to the monitoring of nickel prices by SunSirs, on February 8th, spot nickel was quoted at 128,700 RMB/ton, with a weekly increase of 3.36%.

Analysis review

Macro level: The game between China and the United States has increased, and China has imposed 10% -15% tariffs on some US goods. The United States has postponed the imposition of import tariffs on goods from Mexico and Canada, easing concerns about tariffs and boosting the weak US dollar, leading to a continued rise in nickel prices.

Supply side: The Philippine Senate has approved the ban on raw ore exports. If the bill is officially implemented, the Philippines may ban nickel ore exports in five years, causing market concerns to ferment.

The surplus of pure nickel continued, and domestic and foreign inventories continued to accumulate. On February 7th, the inventory of Shanghai nickel warehouse receipts was 29,465 tons, an increase of 1,199 tons during the week; On February 7th, LME nickel inventory was 175,710 tons, an increase of 3,408 tons for the week.

Demand side: The atmosphere of the Spring Festival has not yet ended, and downstream work was gradually resuming, so the market activity was slightly lacking. After the holiday, the price of stainless steel slightly increased, and stainless steel continued to accumulate inventory, causing the market to fluctuate at a low level.

Market outlook

Macro and emotional factors continued to affect price trends, and the post holiday market trading heat also needed to improve. There is oversupply, inventory pressure, and it is expected that nickel prices will fluctuate in the low price range.

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