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Below are Quote and Outlook on Nickel By Mr. Abhishek Bansal, Founder Chairman, Abans Group. 

Increasing Demand optimism to support nickel prices

LME Nickel prices are currently trading near $18487, prices have recovered from the recent low of $15670 registered in March’21. Increasing demand optimism for electric battery and electronic vehicles is supportive of Nickel prices. Nickel prices also found support from infrastructure plan in the US.

Meanwhile, Japan's biggest nickel smelter Sumitomo Metal Mining said that Global demand for nickel used in batteries is expected to rise 18 percent this year from 2020. Nickel demand is backed by strong sales of electric vehicles (EVs) in China. It said that the demand for nickel used in rechargeable batteries will increase to 228,000 mt in 2021 from 193,000 mt in 2020.

Additionally, The Company predicted that a global nickel market surplus will narrow to 58,000 mt this year from 132,000 mt in 2020 as robust demand from the stainless steel sector will offset the higher output of nickel pig iron (NPI) in Indonesia. 

Global demand for nickel is seen increasing by 9.2 percent in 2021 to 2.58 million mt, while supply is expected to climb by 5.8 mt to 2.638 million mt. As per the report from the International Nickel Study Group, it Indicates that During the first four months of the year, the global nickel market saw a deficit of 34,900 mt. Japan's demand for nickel is projected to rise 15.7 percent to 167,400 mt, while supply is forecast to fall 2.4 percent to 165,800 mt.

LME warehouse inventory of Nickel now stands at 233814mt as of June 29th   which has dropped near 13680mt in the last 30 days.

Outlook

LME Nickel prices are likely to trade firm while above the key support level of 20 days EMA of 18021 and 50 days EMA of 17752. It is likely to face minor resistance near $18794 and $19000

LME Nickel prices are currently trading near $18487, prices have recovered from the recent low of $15670 registered in March’21. Increasing demand optimism for electric battery and electronic vehicles is supportive of Nickel prices. Nickel prices also found support from infrastructure plan in the US.

 Meanwhile, Japan's biggest nickel smelter Sumitomo Metal Mining said that Global demand for nickel used in batteries is expected to rise 18 percent this year from 2020. Nickel demand is backed by strong sales of electric vehicles (EVs) in China. It said that the demand for nickel used in rechargeable batteries will increase to 228,000 mt in 2021 from 193,000 mt in 2020.

Additionally, The Company predicted that a global nickel market surplus will narrow to 58,000 mt this year from 132,000 mt in 2020 as robust demand from the stainless steel sector will offset the higher output of nickel pig iron (NPI) in Indonesia. 

Global demand for nickel is seen increasing by 9.2 percent in 2021 to 2.58 million mt, while supply is expected to climb by 5.8 mt to 2.638 million mt. As per the report from the International Nickel Study Group, it Indicates that During the first four months of the year, the global nickel market saw a deficit of 34,900 mt. Japan's demand for nickel is projected to rise 15.7 percent to 167,400 mt, while supply is forecast to fall 2.4 percent to 165,800 mt.

LME warehouse inventory of Nickel now stands at 233814mt as of June 29th   which has dropped near 13680mt in the last 30 days.

LME Nickel prices are likely to trade firm while above the key support level of 20 days EMA of 18021 and 50 days EMA of 17752. It is likely to face minor resistance near $18794 and $19000

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