Nickel Settled Flat Paring Its Gains After Prices

Nickel settled flat paring its gains after prices earlier received a boost from news that output at a Canadian mine would be suspended. The prospects of less supply bolstered nickel prices after Vale said it would suspend operations at its Birchtree nickel mine on Oct. 1 because of weak nickel prices and declining ore grades. Metals were also supported by a weaker dollar index , which wallowed near its lowest since Nov. 9 due to an intensifying political scandal around U.S. President Donald Trump.

Global nickel market was in a surplus of 3,300 tonnes during the first three months of 2017, according to the World Bureau of Metal Statistics (WBMS). The market saw a shortage of 62,000 tonnes in the whole year of 2016. On the economic calendar, the Eurozone’s annual inflation rate was confirmed at 1.9% in April, matching forecasts. While UK employers added workers to payrolls last month, with average hourly earnings climbing 2.4% annually in the three months ended March.

All U.K. data were courtesy of the Office for National Statistics. There was no major events scheduled from US zone on Wednesday. Market participants will turn their attention to speeches from the Federal Reserve and ECB in the latter half of the week. Traders were looking ahead to Chinese housing price data later this week, which could impact the price of copper and other base metals used in construction.

Technically market is under long liquidation as market has witnessed drop in open interest by -0.03% to settled at 38917 while prices down -0.2 rupees, now Nickel is getting support at 581.4 and below same could see a test of 577.4 level, And resistance is now likely to be seen at 592, a move above could see prices testing 598.6.

For Quick Trial – 8962000225 ✔
or mail us here:
✆ - 0731-6626222 | Toll Free - 1800-3010-2007
Give a Missed Call for Free Trial - 09699997717

Suhani Verma

  • Image
  • Image
  • Image
    Blogger Comment
    Facebook Comment