GLOBAL NICKEL WRAP: Asia, Europe refined nickel premiums flat

Global nickel premiums were flat week on week, with the absence of an open arbitrage in Shanghai and market participants focused on 2021 negotiations rather than the spot market in Europe, sources told Fastmarkets.

  • A lack of a profitable arb in Shanghai keeps refined nickel premiums unchanged; nickel pig iron (NPI) prices continue drop
  • Premiums in Europe are flat despite an increased interest for material in 2021
Chinese NPI price extended declines, while nickel ore steady; nickel plate premiums unmoved
The Chinese price of NPI continued to drop amid a lower procurement price from domestic stainless steel mills, while the price of raw material nickel ore kept steady in a low supply market. Shanghai nickel-plate premiums, however, were unmoved with a big arbitrage loss diminishing any import appetite, sources said.
Chinese stainless steel mills are not actively purchasing raw materials and continue to lower their procurement prices for NPI, which weighed the market down, sources said.

“Spot trading is still thin amid weaker buying interest from [stainless...


Justin Yang

Hassan Butt

Sally Zhang

December 04, 2020

12:14 GMT

London, Shanghai