Is there a connection between nickel's price movements and the developments in the copper market? Nickel Investing News asked Wayne Atwell, Managing Director and Senior Metals Analyst for Rodman & Renshaw.
Nickel is projected to be in a surplus over the next year and a half, as weak stainless steel demand has caused cuts in production. There are supporting factors as the market heads for its bottom.
Nickel prices on the LME have been on a downward trajectory since March. Weakened demand for steel, increased production of nickel, and many manufacturers seeking substitutes may put create a surplus in 2011.
The global nickel market will be in an 80,000 tonnes surplus in 2009, as dipping demand continues to outpace cutbacks made by producers. For full story, click here
Latest data from International Nickel Study Group (INSG) showed that the global nickel market moved further into surplus in June. They also reported that refined nickel production of 117,000 tonnes in June versus consumption of 109,000 tonnes. For more information, click here
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