June 10 saw nickel prices take a hit, with SMM #1 refined nickel down 2,200 yuan per metric ton from prior trading day. Most-traded SHFE nickel 2607 contract dropped sharply, hitting 134,000 yuan per metric ton before ending morning session at 134,310 yuan, a 2.29% dip. Broader macroeconomic pressures weighing on risk assets .
The National Bureau of Statistics (NBS) said Consumer Price Index (CPI) rose 1.2% year-on-year in May. Producer Price Index (PPI) up 3.9% year-on-year. Industrial producer ex-factory prices climbed 3.9% year-on-year,0.5% month-on-month. Purchase prices for industrial producers jumped 5.8% year-on-year,1.3% month-on-month.
Spot market saw Jinchuan #1 refined nickel with average premium of 1,150 yuan per metric ton, up 100 yuan from day before. Mainstream electrodeposited nickel brands in China ranged between -500 and 400 yuan per metric ton . Market outlook clouded by expectations of interest rate hikes,especially after US nonfarm payrolls report beat forecasts,pushing US dollar index to two-month high.
Even with nickel prices in a slump,analysts hint at possible rebound soon . Geopolitical developments, like US-Iran peace talks, keep market uncertain…
