Global nickel premiums stagnant amid falling LME nickel price

Nickel premiums remained stable worldwide, with the London Metal Exchange's three-month nickel price hitting its lowest point since mid-September

Nickel premiums were flat globally, while the London Metal Exchange three-month nickel price reached its lowest 5pm close since mid-September.

Europe

Premiums for full-plate cathodes, 4×4 cathodes and nickel briquette were flat on Tuesday October 22.

Fastmarkets assessed the nickel uncut cathode premium, in-whs Rotterdam at $150-300 per tonne on Tuesday, unchanged from the previous weekly pricing session.

All participants agreed with our uncut cathode range, which they said was reflective of the European market.

Europe enjoys an ample supply of full-plate, with 26,478 tonnes of on-warrant of uncut cathodes currently sitting in LME warehouses in Rotterdam.

Fastmarkets assessed the nickel 4×4 cathode premium, in-whs Rotterdam at $350-450 per tonne on Tuesday, unchanged from the week before.

The European 4×4 cathode segment is normally the quietest part of the European nickel market, and proved so again this week with no fresh liquidity reported to Fastmarkets.

Fastmarkets assessed the weekly nickel briquette premium, in-whs Rotterdam at $200-350 per tonne on Tuesday, unchanged from the previous pricing session.

The briquette premium, which is normally the most active part of the European nickel market, has now been unchanged for two consecutive weeks.

All market participants reported the current range as reflective.

“Your range is OK for LME-grade nickel briquettes,” one trader said. “Some excess Finnish material is on the market, but it’s not LME deliverable.”

The LME three-month nickel price was $16,316 per tonne at the 5pm close on Tuesday October 22, down from $17,424 per tonne at the 5pm close on October 15. Tuesday’s price was the lowest 5pm close for the three-month nickel contract since September 18.

China

Premiums of nickel full plate cathodes remained unchanged in China in the week to Tuesday, with liquidity remaining mostly thin in both the bonded and CIF nickel markets.

Arbitrage remained the main issue to block import. Fastmarkets’ calculation of nickel import arbitrage was at a loss of $1,088.77 per tonne on Tuesday, compared with a loss of $1,282.40 per tonne a week prior, on October 15.

Fastmarkets’ weekly assessment of the nickel min 99.8% full plate premium, cif Shanghai was $150-250 per tonne on Tuesday, unchanged since August 6.

Fastmarkets’ weekly assessment of the nickel min 99.8% full plate premium, in-whs Shanghai was $0-100 per tonne on Tuesday, unchanged since September 3.

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