Nickel’s three-month price was the biggest decline over the day, falling over 3% to close just above $12,500 per tonne and down more than 6% from its midweek surge to a high of $13,350 per tonne.
Low stocks and stagnant demand remain a key factor behind the metal’s swift correction this week.
“Stocks continue to decline and at this time the market is in a fundamental deficit. The longer-term outlook however may provide some headwinds to the market and cap upside gains in the longer term,” Sucden Financial said in its quarterly metals report.
“Tsingshan is at the epicentre of the nickel market and has the potential to swing the market into a surplus. New high-pressure acid leach (HPAL) and nickel pig iron (NPI)...