NEW YORK Melting-grade nickel premiums remained at a ten-year low of 15 to 25 cents per pound, with traders continuing to lament a dearth of spot transactions amid domestic oversupply.
Market participants told AMM that the spot market was spotty and quiet, with one trader citing the presence of more than 1,000 tonnes of nickel in Chicagos London Metal Exchange-listed warehouses as putting briquettes under pressure. The material was delivered into the warehouses during the first quarter (amm.com, March 28
A second trader claimed that premiums had drifted to as low as 10 cents per pound, though no business was confirmed at this level.
Premiums seem to continue to soften, the trader who had last month put premiums in a range of 15 to 25 cents per pound said.
The LMEs three-month nickel contract closed the official session at $15,420 per tonne ($6.99 per pound) May 9, up 1.2 percent from $15,230 per tonne ($6.91 per pound) April 25.
Plating-grade nickel premiums were also unchanged at 50 to 60 cents per pound.