Weak Ni Price in Tokyo

Nickel ingot market price plunged by 50 yen to 1,600-1,650 yen per kilogram for melting on Friday from the previous day around Tokyo. The price is the lowest level in around 4 months.

Nickel settlement at London Metal Exchange decreased by US$ 720 to US$ 16,330 per tonne on Thursday from the previous day while nonferrous metals price decreased when gold price, which continued renewing the highest price, turned into downward. Nickel fundamentals are weak.

Nickel inventory at the warehouses registered to LME increased by 90 tonnes to 131,730 tonnes on Thursday from the previous day, which is larger than the world consumption for a month. Despite the recovering stainless steel consumption, the inventory continues increasing due to the excess nickel production.

One Japanese dealer source pointed out nickel shipment remains low for casting. The source sees the overseas market price would be impacted by speculation factors regardless of the demand while the price could increase in the long term.