The London Metal Exchange (LME) nickel futures price remained stable at the level of over US$15,300/ton last Friday, achieving its highest weekly close in two weeks. A flat US dollar and lower-than-expected US inflation data kept expectations for a Federal Reserve (Fed) interest rate cut unchanged.
In spite of strong underlying price pressure from high nickel stockpiles, which remain above 250,000 tons, the price finished the week up by US$235, or 1.55%, ending two consecutive weeks of declines.
Market participants said that the supply exceeds demand in the nickel market, but macroeconomic factors, including a possible Fed rate cut and a meeting between US and Chinese leaders, could drive nickel prices to be in strong and volatile movements.
