Nickel closed Thursday's trading
session at $13.65/lb ($30,100/tonne). Indicators at 6:00 am CST today show
nickel trading around $.31/lb
higher. Stockpiles of nickel stored in LME licensed warehouses rose on
Thursday and started today's session just under the 55,500 tonne level.
It looks as if the market, or at least the bulls in
the market, want to end the year over the $30,000/tonne level, with
plenty of cushion.
Considering nickel closed 2021 at $20,585/tonne, that would make 2022
one
heck of a year for the nickel bulls. And then there was the March
debacle, which is still sending tremors thru the market even now.
Shanghai did not follow LME's fall yesterday and rose overnight to
232,000 y/t, possibly inspiring LME to follow suit today. It's the
final trading day of the week, month and
year and the LME and Shanghai are closed Monday for the New Year's
holiday, so our
next update will be Tuesday, January 3rd. We want to end the year as we
started it, by thanking our readers for spending a few minutes of their
day with us, and our sponsor, P A Inc, for making these daily updates
possible - for all of 2022, and again for all of 2023. We toast the new
year with a quote from the old TV series MASH - "Here's to the New
Year. May she be a damn sight better than the old one, and may we all
be home before she's over." May 2023 bring you and yours health, hope,
and happiness. We hope to see you again - next year.
Average price of LME traded cash nickel
so far this month
- $13.05/lb
Reports
Reuters metals morning - Demand angst puts copper on course for largest drop since 2018 - more
Thursday's market review - Copper slips on poor demand prospects -
Copper prices slipped on Thursday as surging COVID infections in top
consumer China and worries about a global recession fueled fears of
slowing demand for industrial metals. - more
Stainless steel market players keep cautiously optimistic for 2023 -
Global stainless steel companies posted their strong financial
performance in spite of a volatile steel market this year. - more
PMI for Stainless Steel Sector in Dec Stands below 50-Point Mark as
Pandemic Discourages Downstream Enterprises from Stockpiling - The
stainless steel sector remained sluggish in December, with its PMI at
49.17. In detail, the index for production stood at 49.29 for the total
output in December was slightly lower than that in November. - more
Pre-holiday Stockpiling of Companies Involved in Stainless Steel Industry Chain - more
Coal, gas lead 2022 commodities rally; recession fears greet New Year -
Coal and natural gas markets were poised on Friday to end 2022 with
strong gains after a global energy crisis triggered by the
Russia-Ukraine war stoked a sharp upswing in prices, while tighter
supplies expected in 2023 could fuel more gains. - more
Viewpoint: LME nickel grapples with identity crisis - Trading volumes
in the global benchmark nickel contract on the London Metal Exchange
(LME) have collapsed amid reduced trading hours, prices have swung
wildly and decoupled from the physical market, and the declining share
of LME-deliverable nickel in world supply and consumption has brought
into question the future utility of the index as a global price
reference. - more
Nickel closed Wednesday's trading
session at $13.78/lb ($30,375/tonne). Indicators at 5:30 am CST today show
nickel trading around $.18/lb
lower. Stockpiles of nickel stored in LME licensed warehouses rose on
Wednesday and ended that session just shy of the 55,100 tonne level.
LME nickel is trading back below the $30,000 tonne level this morning,
while Shanghai nickel continued to rise, at 228,890 y/t. CNN is
reporting nearly half of 212 Chinese passengers what arrived on a
flight in Italy earlier this week, tested positive for COVID. China has
officially stopped reporting COVID numbers as they are obviously 'off
the charts'. This has, is, and will continue to effect normal business
operations in China and thus exports from, could see future delays. And
while the world is concerned for the health of the Chinese people, they
are also encouraged that the initial steps have been taken to get those
business operations back to some sense of normality - eventually. As of
the last official report from the US CDC, COVID deaths continue to
account for the third most number of deaths among Americans, behind
heart disease and cancer. So while we have grown tired of hearing about
it, it remains a threat. That said, stay safe out there and have a
great Thursday!
Average price of LME traded cash nickel
so far this month
- $13.02/lb
Reports
Reuters metals morning - Copper slides as focus shifts to poor demand prospects - more
Wednesday's market review - Copper hits two-week
high on easing China COVID controls - Copper prices hit a two-week peak
on Wednesday as top consumer China’s easing of COVID restrictions
spurred buying, but recession risks and expectations of weaker demand
capped gains. - more
Short-term Nickel Price Likely to Remain High on Relatively Tight
Supply and Slightly Improving Downstream Demand - On the supply side,
the spot premiums of pure nickel were stubbornly high amid tight
supply. The NPI circulating in the spot market was at a low level
following robust transactions, and almost all Indonesian NPI has been
booked. - more
Commodity markets in 2022: A year in 8 infographics - Conflict in
Ukraine following Russian troops launching attacks across international
borders on Feb. 24, has had a major impact on prices of key commodities
from oil and gas through to steel and grains. - more
Commodities have a mixed 2022 — crude starting to simmer, nickel and
lithium shine brightest - Its been a mixed year for the commodities
market with fast-changing geopolitical situations like the
Russia-Ukraine war and the COVID-19 cases rising and the subsequent
lockdowns in China. - more
China’s stainless steel imports & exports rise in Nov y-o-y -
China’s stainless steel imports were 292,900 tons in November, which
rose by 22.6% from the same period last year but down by 6.2% from
October. - more
Stocking of stainless steel downstream manufacturers in China gradually picking up - more
Courtesy AISI - In the week ending on December 24, 2022, domestic raw
steel production was 1,614,000 net tons while the capability
utilization rate was 72.3 percent. Production was 1,768,000 net
tons in the week ending December 24, 2021 while the capability
utilization then was 80.1 percent. - more
Nickel closed Friday's trading
session at $13.37/lb ($29,470/tonne) Indicators at 6:00 am CST today show
nickel trading around $.61/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell last
Friday and start the shortened trading week just over the 54,200 tonne
level. Nickel traded higher over the last three trading days in
Shanghai, closing today at 228,250 y/t. LME returned to trading today
and is playing catchup with a huge morning spike, with nickel hitting
the $14/lb level earlier. All the buzz right now seems to be centering
around China lifting COVID restrictions. While China has eliminated
nearly all of the COVID related travel restrictions, other countries
are now noticing an increase in bookings from China as people there try
to escape the surge. December 2019 anyone? This is like watching the
collapse of the walls of Jericho - walls that were doing a fair job of
keeping the virus at bay, but no longer. There is an article below
titled "Questioning Tesla's Nickel Purchase Contract" that is worth a
read. In our opinion, it sets a dangerous precedent, far beyond earlier
demands on foreign companies. Stay safe this week and enjoy the last
few days of 2022.
Average price of LME traded cash nickel
so far this month
- $12.97/lb
Reports
Reuters metals morning - Copper hits 2-week high on China recovery optimism - more
Friday's market review - Copper edges higher on
hopes for better 2023 demand - Copper prices edged higher
on Friday as low inventories and hopes for economic recovery next year
offset a slackening in near-term demand in China caused by a surge in
COVID-19 cases. - more
SMM Analysis: Stainless Steel Prices Ended Six-Day Losing Streak Thanks
to Cost Support - After experiencing a wave of drastic declines,
the most-traded SS contract stopped ended its six-day losing streak
yesterday, and once rose nearly 1.7% before closing up 1.44% at 16,540
yuan/mt as of yesterday noon. - more
China Stainless Steel Market Review and Forecast - more
Cleveland-Cliffs Achieves Price Increases on Fixed-Price Contracts for
2023 - Cleveland-Cliffs Inc. today announced the following updates on
its latest commercial and operational developments. - more
Stainless steel price rises on the horizon for 2023 - more
November 2022 crude steel production - World crude steel production for
the 64 countries reporting to the World Steel Association (worldsteel)
was 139.1 million tonnes (Mt) in November 2022, a 2.6% decrease
compared to November 2021. - more
Indonesia terminates AD duties on cold-rolled stainless steel from
China, Malaysia - Indonesia has terminated the anti-dumping (AD) duties
on cold-rolled stainless steel from China and Malaysia. - more
Questioning Tesla's Nickel Purchase Contract, Member Of
Commission VII: To Chinese Companies, Indonesia Only Gets Profit From
Semi-Finished Nickel Products - more
Steel firms pour US$1 billion into Zimbabwe - Major steel-processing
firms developing operations in Zimbabwe have this year invested over
US$1 billion into their projects, which are at various stages of
implementation, official data showed yesterday. - more
A look at the nickel sector and the leading companies as we head into
2023 - 2022 was a great year for the nickel sector. 2023 looks like
being a bit tougher as a global slowdown looms and as new Indonesia
supply comes online; however, ... - pdf here
What implications for nickel from the CPC 20th Congress? - The elite
members of the Communist Party of China (CPC) convened in Beijing, in
October 2022 for their 20th Congress. - more
Nickel closed Thursday's trading
session at $13.27/lb ($29,250/tonne). Indicators
at 6:30 am CST today show
nickel trading around $.24/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Thursday and started today;s trading session at the 54,300 tonne level.
A British judge gave the LME an early Christmas present when it
dismissed a request by hedge funds suing the LME for phone call
transcripts and meeting notes. The article is linked below and I have
added the first two sentences of the Reuters article, instead of just
one, because the second sentence is rather revealing. Another British
company is launching a nickel trading platform next year - see below.
Before you pack your bags and head for that new nickel or stainless
steel job in Indonesia, there is an article below worth reading. Not
exactly something your employer will likely tell you - until you get
there that is. And finally today, Bloomberg is reporting numbers that
make it reasonable to assume that China will in the next few months,
see more COVID infections in their country than the entire U.S.
population of 332 million people. Not exactly cheerful news to start
the holiday weekend on. but as we have said many times before, when it
comes to stainless steel and nickel, what happens in China ....
matters. Due to the LME closing for Christmas, our next update will be
next Wednesday. Stay safe out there this holiday weekend,have the merriest of Christmas', and we will see mid next week!
Average price of LME traded cash nickel
so far this month
- $12.94/lb
Reports
Reuters metals morning - Copper edges higher on hopes for better demand next year - more
Thursday's market review - Copper struggles for momentum under
recession risks, China uncertainty - Copper prices were stuck in a
narrow range on Friday amid risk-off sentiment due to recession fears
and demand uncertainty from top consumer China. - more
Hedge funds AQR and others case against LME dismissed - judge - A
British judge on Friday dismissed a case against the London Metal
Exchange brought by hedge fund AQR Capital Management and others that
demanded phone call transcripts and meeting notes about the exchange’s
decision in March to cancel nickel trades. Justice Adrian Beltrami said
in his ruling that even if there was, on the part of the LME a “good arguable case of wrongdoing,” the judge considered “the merits of the case as weak.” - more
Global Commodities Holdings to launch nickel trading platform as LME
reels - UK-based Global Commodities Holdings (GCH) said on Thursday it
would launch a spot trading platform for physically delivered nickel in
the first quarter of 2023. - more
China estimates COVID surge is infecting 37 million people a day -
Bloomberg News - Nearly 37 million people in China may have been
infected with COVID-19 on a single day this week, Bloomberg News
reported on Friday, citing estimates from the government's top health
authority.- more
Nickel closed Wednesday's trading
session at $13.34/lb ($29,420/tonne). Indicators at 6:00 am CST today show
nickel trading around $.38/lb
lower. Stockpiles of nickel stored in LME licensed warehouses rose on
Wednesday and started today just over the 54,400 tonne level. Nickel
rose sharply yesterday, a second consecutive day of a $1000/tonne plus
gain. This morning, it is down over $1000/tonne. At least one Taiwanese
stainless producer thinks it has something
to do with rumors that Norilsk might cut production next year to curb a
global surplus. We say, don't go crazy looking for a reason, you'll
find it an endeavor of futility. Some of our American readers will
start their holiday
tomorrow, and the LME is closed next Monday
and Tuesday for their Christmas break. We will post tomorrow, but our
first update next week will be on Wednesday, the 28th. If this is your
"Friday" we want to thank you for being a 2022 reader and hope 2023
brings you happiness, good health, and hope. We also want to take
another opportunity to thank to our 2022 and 2023 page sponsor, P A
Inc. You found this page updated daily thanks to their sponsorship.
Merry Christmas and have a safe and joyous holiday.
Average price of LME traded cash nickel
so far this month
- $12.94/lb
Reports
Reuters metals morning - Copper eases off 1-week high as China COVID concerns weigh - more
Wednesday's market review - Copper holds its ground despite China's
COVID wave - Copper prices hovered around $8,350 a tonne on Wednesday
as hopes that China’s easing of COVID-19 restrictions will eventually
lift demand were offset by a surge in infections that is reducing
consumption in the short term. - more
Stainless melt shops quieter in 2022 - Stainless steel melt shop
production decreased by 5.1 percent year on year in the first nine
months of 2022 compared with last year, according to Brussels-based
WorldStainless. - more
India
imposes anti-dumping duty on stainless steel tube imports from China -
India has imposed an anti-dumping duty on stainless steel seamless
tubes and pipe imports from China for five years to remove "injury" to
the domestic industry, according to a government notification. - more
Nickel market stirred by rumors of Nornickel considering production cut
by 10% next year - The LME nickel futures prices surged by US$830
yesterday (December 20), closing at US$28,045/ton, a hike of more than
3% from the previous day. - more
Will anyone transport nickel from Russia to Europe next year? - more
Mining tycoon Palmer sells Australian nickel refinery for reported $1.3
billion - Australian mining magnate Clive Palmer has sold the troubled
Yabulu nickel refinery in Queensland state to Swiss special purpose
vehicle Zero Carbon Investek - a deal that has reportedly fetched A$2
billion ($1.3 billion). - more
Nickel closed Tuesday's trading
session at $12.79/lb ($28,200/tonne). Indicators at 6:00 am CST today show
nickel trading around $.09/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Tuesday and started today just over th 54,200 tonne level. Nickel rose
sharply yesterday morning, before falling over $1,000/tonne and still
ending around $1,000/tonne higher for the day. Can you spell
volatility? For those who might have missed it yesterday, Clyde Russell
in a Reuters article - "The
folly and futility of forecasting commodity prices was rammed home this
year, with Russia’s invasion of Ukraine upending markets and rendering
all prior expectations largely irrelevant. Nonetheless, analysts are
drawn like moths to a flame at this time of the year, churning out new
forecasts in the all too often vain hope that their soothsaying will
prove on the money this time around. Rather than criticize this orgy of self-flagellation, it’s a great
exercise in taking stock and identifying trends that may persist or
evaporate in the year ahead." In case you missed it, the article is here. And we would add, well said. Stay safe out there and have a great hump day!
Average price of LME traded cash nickel
so far this month
- $12.95/lb
Reports
Reuters metals morning - Base metals mixed on dollar moves, China COVID woes - more
Tuesday's market review - Falling inventories boost aluminum but
surpluses lie ahead - Aluminum rose on Tuesday, helped by a weakening
dollar and a sharp fall in inventories available on the London Metal
Exchange (LME), but rising COVID-19 cases in China and expectations of
surplus supply next year limited gains. - more
Stainless steel melt shop production decreased by 5.1% y–o–y to 41.9
million metric tons in the first nine months of 2022 - The world
stainless association has released figures for the first nine months of
2022 showing that stainless steel melt shop production decreased by
5.1% year–on–year to 41.9 million metric tons. - more
Coming EU CBAM may affect China's stainless steel exports - The Carbon
Border Adjustment Mechanism (CBAM) in the EU was expected to start
trial operation at the end of 2023, which will cover the industries of
steel, cement, aluminum, fertilizer, and electricity. - more
Australian billionaire reveals green steel plans - Fortescue Metals
Group Ltd., the world's fourth largest iron ore mining company, has
joined forces with Japan's Mitsubishi Corp. and European steelmaker
Voestalpine AG to develop carbon-free iron using hydrogen at a plant in
Austria. - more
Jokowi Asserts Indonesia's Stance on Natural Commodity Exports -
President Joko Widodo or Jokowi asserted Indonesia's position in terms
of exports of natural resource commodities.- more
Nickel closed Monday's trading
session at $12.36/lb ($27,250/tonne). Indicators at 6:00 am CST today show
nickel trading around $.73/lb
higher. That is not a misprint. Nickel is up over $1700/tonne already
this morning, and at the moment, appears to be hitting some resistance.
Stockpiles of nickel stored in LME approved warehouses fell slightly on
Monday and started today's session just over the 54,300 tonne level.
Shanghai nickel is at 215,280 y/t, up 1,550 from yesterday. If you read
no other news story today, please check out the article below titled
"Commodity forecasts are absurd, but China is key as Ukraine fades:
Russell". Russell, who is one of the better commodity forecasters,
expresses his frustration with the futility of commodity forecasting.
And we post another from Fitch. Stay safe out there and have a great
day!
Average price of LME traded cash nickel
so far this month
- $12.96/lb
Reports
Reuters metals morning - Copper slips as China COVID hits industrial activity - more
Monday's market review - Copper rises as China pledges economic support
- Copper prices rose on Monday, supported by a weaker dollar and hopes
for stronger demand in China on the back of promised economic stimulus
from the government. - more
Commodity forecasts are absurd, but China is key as Ukraine fades:
Russell - The folly and futility of forecasting commodity prices was
rammed home this year, with Russia's invasion of Ukraine upending
markets and rendering all prior expectations largely irrelevant. - more
SMM Analysis: Stainless Steel Prices’ Upward Trend Comes to An Abrupt End - Entering
December, the most-traded stainless steel futures contract was
basically in a steady upward trend, but this came to an abrupt end last
Friday and took a sharp turn for the worse. - more
Global AL6XN Prices Persist to Soar at the Ending Q4 of 2022 - AL6XN
prices continue to rise in the global market in mid-December 2022,
owing to the rising downstream demand and raw material costs. - more
Hedge Funds Say They Lost $95 Million in LME Nickel Crisis - A group of
hedge funds led by AQR Capital Management LLC said that they lost a
combined $95 million during a turbulent few days when the London Metal
Exchange controversially canceled billions of dollars in nickel trades
and suspended the market. - more
China’s Zero-Covid Policy Uncertainty Will Drive Commodities Markets -
China’s easing of its zero-Covid policy will remain the key uncertainty
for commodities markets in 2023, Fitch Ratings says in a new report. - more
Russia’s stainless steel imports down 1.9 percent in Nov from Oct - In
October this year, Russia’s stainless steel imports
totaled 20,003 mt, down by 1.9 percent compared to October, according
to Russia-based SpetsStal Association. - more
Courtesy AISI - In the week ending on December 17, 2022, domestic raw
steel production was 1,627,000 net tons while the capability
utilization rate was 72.9 percent. Production was
1,768,000 net tons in the week ending December 17, 2021 while
the capability utilization then was 80.1 percent. - more
Nickel closed Friday's trading
session at $12.85/lb ($28,330/tonne). Indicators at 6:00 am CST today show
nickel trading around $.07/lb
lower. Stockpiles of nickel stored in LME licensed warehouses rose on
Friday and ended the week just under the 54,400 tonne level. Shanghai
nickel closed lower overnight, down 3950 to just over the 213,700
y/tonne level. Hedge fund AQR requested a judge force LME to release
documents it thinks might show the relationship between the LME and its
Chinese owner, may have protected the Chinese tycoon when it decided to
step in and halt trading and reportedly saved Tsingshan Holding Group
from certain default. In an article linked below, a LME lawyer is
quoted by Reuters as stating in response "They seek to go behind the
information that has been provided. They want to know the explanation
is false and go on a fishing expedition to establish that." Duh! In
other words "Take our excuse and trust us!" He left out one word in
his last statement that changes the entire context of the case. What he
should have said is "They want to know IF the explanation is false and
go on a fishing expedition to establish that." This lawyer should come
to America and work for the political party of his choice. Oh, and the
so called Chinese tycoon that caused the debacle - he is doing just
fine thank you according to another Reuters article below. Final two
weeks of 2022 are in the windshield and how this part of life's trip
ends - is up to the guy or gal behind the wheel. That would be you.
Stay safe out there and have a great week!
Average price of LME traded cash nickel
so far this month
- $13.00/lb
Reports
Reuters metals morning - Copper rises on tight supply, China's pledge to support economy - more
Friday's market review - Copper edges lower on China COVID cases,
recession fears - Copper prices crept lower on Friday due to ongoing
worries that a global recession and rising COVID-19 cases in China
would depress economic growth and demand for metals. - more
LME nickel price upheld by improved purchasing
willingness from downstream buyers - The LME nickel futures dropped by
US$54 yesterday (December 15), closing at US$28,311/ton. The spot price
also fell by US$40, reaching US$28,103/ton. - more
Hedge fund AQR demands British judge force LME to hand over transcripts
- Hedge fund AQR Capital Management and four others asked a British
judge on Friday to force the London Metal Exchange (LME) to hand over
phone call transcripts and meeting notes about the LME's March decision
to cancel trades. - more
Nickel tycoon plans new plant to avoid future LME short squeezes - more
CISA mills’ daily steel output down 2.06 percent in early Dec -
The China Iron and Steel Association (CISA) has announced
that in early December (December 1-10) this year the average aggregate
daily crude steel output of large and medium-sized steel
enterprises in China .... - more
Demand recovery is the festive wish for steel suppliers - During the
festive season, children all over Europe wait in eager anticipation of
receiving and opening presents. - more
POSCO resumes production at typhoon-affected steel plant in Pohang -
South Korean steelmaker POSCO said on Sunday it had resumed operations
at a key steel plant after a three-month typhoon shutdown. - more
Metinvest says loopholes in European sanctions allow Russia to continue
steel supplies - According to the CEO of a Dutch mining and
metallurgical holding, a loophole that gives many Russian producers a
two-year delay in importing Russian semi-finished products to the EU
allows some European companies to buy Russian steel at heavily
discounted prices, giving them an advantage over other producers in the
EU. - more
Nickel closed Thursday's trading
session at $12.81/lb ($28,250/tonne). Indicators at 7:00 am CST today show
nickel trading around $.20/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Thursday and started today's trading session just under the 53,9000
tonne level. Shanghai nickel closed down 1,480 to 215,610 y/mt. While
yesterday's trading was volatile, its closing from Wednesday would may
have it appear ho-hum, down less than $150/tonne from Wednesday and
down $250 from Tuesday's close. Lots of news today including
confirmation that Norilsk's Vladimir Potanin has been sanctioned by the
U.S., but the government refuses to sanction Norilsk. Indonesia's Joko
Widoko gave a speech to EU leaders this week, in which their mutual
dispute over nickel was mentioned more than once. Some of those suing
the LME over the March debacle are to ask a British court today to
force the LME to release relevant documents. The questions for the
market, or at least us, are why did you decide to step in, how did you
decide when to step in, how did you determine what trades to cancel and
what trades to leave in effect. Stay safe out there and enjoy your
weekend!
Average price of LME traded cash nickel
so far this month
- $12.99/lb
Reports
Reuters metals morning - Copper set for weekly drop on China, recession fears - more
Thursday's market review - Copper prices fall on
weak China data and hawkish Fed - Copper prices fell on Thursday as
weak Chinese factory data and a U.S. Federal Reserve warning of further
increases to interest rates fanned fears of weak demand. - more
Global steel prices outlook outside of China will step down in 2021 -
Fitch Ratings’ deteriorating outlook for Global Steel reflects our
expectations that metal prices across the globe and earnings outside
China will continue to step down in 2023, while the supply demand
balance has tilted more in favour of steel end-markets. - more
British court set to hear demand for evidence over LME nickel crisis -
Hedge fund AQR Capital Management and four other parties are due to ask
a British judge on Friday to force the London Metal Exchange (LME) to
release documents about decision-making that led the LME to suspend
nickel trading in March. - more
Declining pace of China’s crude steel output slows to 1.4% in Jan-Nov -
In the January-November period of the current year, China’s outputs of
pig iron, crude steel and finished steel amounted to 795.06 million mt,
935.11 million mt and 1225.33 million mt, decreasing by 0.4 percent,
1.4 percent and 0.7 percent, respectively, year on year, as announced
by China's National Bureau of Statistics (NBS). - more
Steel may gain little as China eases covid curbs - more
Stainless steel prices & alloy surcharges in US market increase in
Dec - North American Stainless, Outokumpu, and Cleveland-Cliffs raised
their stainless steel prices and alloy surcharges in December, and the
US market rebounded for the first time since falling in June. - more
Global duplex stainless steel market to grow at CAGR of 4.5% by 2028 -
According to the latest research study released by Insight Partners,
the global duplex stainless steel market was forecasted to increase
from US$196.99 billion in 2021 to US$266.78 billion by 2028,..... - more
Jokowi's EU Speech and Issues Surrounding Nickel, Criminal Code -
President Joko "Jokowi" Widodo underlined issues concerning equality
and mutual respect in his speech at the European Union - ASEAN Summit
held in Brussels, Belgium, this week. - more
Factbox: Who is Russian businessman Vladimir Potanin? - Vladimir
Potanin, who was placed on a U.S. sanctions list on Thursday, is one of
Russia's wealthiest businessmen. Here are some key facts on the man,
his investments and his career. - more
The US just sanctioned Russia’s richest tycoon—but not his company - more
Nickel closed Wednesday's trading
session at $12.87/lb ($28,380/tonne). Indicators at 6:00 am CST today show
nickel trading around $.07/lb
higher. Stockpiles of nickel stored in LME licensed warehouses rose on
Wednesday and started today's session just under the 54,000 tonne
level. Nickel has traded rather tamely for the last day, considering
the degree of volatility it has been trading in. Ending slightly lower
yesterday, it us up quietly this morning. Shanghai ended down 1980 y/mt
to 217,450. Here is your title for the morning "Traders warn LME nickel
benchmark disconnected from world markets". In our opinion, that could
apply to the last few years. Bullish turns with no fundamentals to back
them up, bearish turns with no holding power. On one hand the analysts
forecast huge surplus in nickel supply, and on the other they, at least
some of them, forecast the higher prices are justified. That is not
typically how it works folks, unless of course, supply and demand don't
mean what they always have. We suspect much of the confusion is caused
by the huge amounts of money sitting in retirement savings and the need
for those funds to find avenues to grow those savings. Theses guys tend
to show up a little late to the dance, and are harder to convince the
dance is over. And the Euro/US Dollar exchange appears to mean a lot
more than they used to. This may be the way it is, but it makes
forecasting more difficult. Nickel bottomed out in mid July around
$19,000/tonne, after a steep decline started by the March debacle -
about where the prior bull run began - the one that ended with that
same debacle. It has been on a bullish run ever since and the price is
now over $10,000/mt higher. Surplus nickel and slowing economies do not
appear to be a threat to nickel traders. Lots of news below, so we
leave you with it. Stay safe out there and have a great Thursday! Ten
days till Christmas!
Average price of LME traded cash nickel
so far this month
- $12.99/lb
Reports
Reuters metals morning - Copper falls on China data, Fed's hawkish stance - more
Wednesday's market review - Aluminium sinks on
disquiet over China COVID cases - Prices of aluminum and other
industrial metals faltered on Wednesday on concern about surging COVID
cases in top metals consumer China after it relaxed strict controls. - more
Traders warn LME nickel benchmark disconnected from global market -
Traders are warning that low volumes and erratic trading have isolated
nickel prices on the London Metal Exchange from the rest of the global
market. - more
Global nickel market surplus dips to 15,200 tonnes in Oct -INSG - The
global nickel market surplus edged down to 15,200 tonnes in October
from 15,500 tonnes in September, data from the Lisbon-based
International Nickel Study Group (INSG) showed on Wednesday. - more
WBMS January to October 2022 Metals Balances - more
Taiwan’s stainless steel upstream mills’ revenue impacted by weak
demand - Yieh United Steel Corp. (Yusco), a leading stainless steel
mill in Taiwan, reported that its self-consolidated revenue totaled
NT$3.377 billion in November this year, dropping by 35.14% compared to
the same month a year ago. - more
SS Contract to Move Rangebound with some Drops in December - In
November, the stainless steel futures contract remained rangebound amid
the frequently released macro policies. - more
Russian businessman Vladimir Potanin faces U.S. sanctions - WSJ - The
United States is moving to impose sanctions on Vladimir Potanin, one of
Russia's richest men, but would not sanction Nornickel, the company
where he is a major shareholder, the Wall Street Journal reported on
Wednesday, citing U.S. officials. - more
ArcelorMittal steel plant in Poland refuses to restart blast furnace
due to lack of orders - ArcelorMittal Poland shut down Blast Furnace
No. 3 in early September amid a slowdown in economic activity in
Europe, lower demand, higher levels of imports from outside the EU, and
higher natural gas and electricity prices. - more
Metallurgical plant of Metinvest in the Dnepropetrovsk region resumed
the production of pig iron - The Kametstal plant of the Metinvest group
resumed work on iron smelting after a temporary cessation of production
as a result of shelling of the power structure - more
China Reacts Strongly to WTO’s Ruling of Trump Administration Metal
Duties - In the latest US steel news, a WTO ruling has sparked a new
war of words between the United States and China. - more
US Snub of WTO Ruling Marks a ‘Step Back’ in Era of Free Trade - more
Nickel closed Tuesday's trading
session at $12.93/lb ($28,500/tonne). Indicators at 6:00 am CST today show
nickel trading around $.17/lb
lower. Stockpiles of nickel stored in LME licensed warehouses rose on
Tuesday and started today just over the 53,300 tonne level. Inflation
figures release yesterday encouraged
traders that the Fed would drop its rate hike to 50 points from 75, and
this helped push the U.S. Dollar lower. A lower Dollar is typically
good news for commodity traders, and all base metals traded higher for
the day - except nickel. And the bearish run continues this morning.
This time, however, Shanghai nickel traders have joined in, falling
2,930 to 219,700 y/mt overnight. Today we get the Fed's rate hike
decision, and the market is betting on a 50 point increase, instead of
the 75 point as before. This could already be priced into the Euro/US
Dollar exchange but any surprises could be negative for the Euro, which
will add additional strain on commodity trading. We posted an article
on the second with a number of nickel price forecasts for 2023 in it.
They are listed below under a new forecast. And Merafe announces that
first quarter ferrochrome prices in the EU, will go unchanged from the
$1.49/lb they end 2022 at. Stay safe out there and have a great hump
day!
Average price of LME traded cash nickel
so far this month
- $13.03/lb
Reports
Reuters metals morning - Copper gains as dollar falters; China COVID fears loom - more
Tuesday's market review - Copper hits multi-month peak as dollar slides
on inflation data - Copper prices jumped to their highest in nearly six
months on Tuesday on a weaker dollar after a further decline in U.S.
inflation raised the likelihood of an easing in the pace of interest
rate hikes. - more
Ferrochrome price announcement for the first quarter of 2023 -
Shareholders of the Company are advised that the European benchmark
ferrochrome price for the first quarter of 2023 has been settled at 149
US cents per pound, a rollover from the fourth quarter of 2022. - source
Nickel surplus to build - (excerpt) We see prices hovering between
$20,000/t and $20,500/t over the first two quarters of 2023 before
gradually increasing to $21,000/t in 3Q and $22,000/t in 4Q as the
global growth outlook starts to improve. - more
From Dec 2nd Capital.com article we linked to
On 1 December 2022, ANZ Research forecasted nickel to
average $25,130 a tonne in 2022, falling to $22,575 in 2023 and
dropping further to $19,225 in 2024.
According to ING on 30 November, nickel prices will
hover between $20,000/tonne and $20,500 in the first two quarters of
2023 before gradually rising to $21,000 in Q3 and $22,000 in Q4 as the
global growth outlook improves.
On 25 November, Fitch Solutions’ nickel price
forecast for 2022 expected the metal to average $24,250/tonne,
declining to $22,500 in 2023.
Fitch Ratings expected the nickel price to drop to $20,000/tonne in 2023 from $25,000 in 2022.
Trading Economics was bullish on nickel, expecting
the metal to trade at $26,842 a tonne by the end of the fourth quarter,
based on its global macro models and analysts’ expectations as of
1 December. In addition, the economic data provider estimated the metal
to average $32,042 in 12 months’ time.
As of 1 December 2022, algorithm-based forecasting
service Wallet Investor forecast the nickel price to rise to $32,987.75
a tonne by December 2023.
Europe introduces border tax on carbon emissions - After late-night
negotiations, the European Union approved a political deal early on
Tuesday to impose a carbon tariff on imports of polluting goods such as
steel and cement. - more
US ITC votes to maintain AD orders on stainless steel wire rod from
India - The US International Trade Commission (ITC) today determined
that revoking the existing antidumping duty order on imports of
stainless steel wire rod from India would be likely to lead to
continuation or recurrence of material injury within a reasonably
foreseeable time. - more
Tsingshan Group signs MoU for building steel plant in Zimbabwe,
stainless steel production under consideration - In late November,
China's Tsingshan Holding Group signed a memorandum of understanding
(MoU) with the Zimbabwean government for building an integrated steel,
coal, and chrome production plant. Furthermore, the group is also
considering stainless steel production. - more
Nickel closed Monday's trading
session at $13.32/lb ($29,375/tonne). Indicators at 6:00 am CST today show
nickel trading around $.20/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Monday and ended that session just under the 52,900 tonne level. We are
seeing a little disconnect this morning, as Shanghai nickel closed
nearly 2% higher overnight, and LME nickel is southbound to start the
day. Shanghai nickel ended at 224,180 Y/MT, up 4,250. Indonesia has
filed an appeal against the WTO ruling that said their nickel ore
export ban was illegal. China continues to reopen and has reportedly
lost 5,235 citizens to COVID since the outbreak began, while other
countries such as the U.S. have reported over 1 million deaths. Stay
safe out there and enjoy your post-Monday.
Average price of LME traded cash nickel
so far this month
- $13.02/lb
Reports
Reuters metals morning - Copper strides higher on inflation data optimism - more
Monday's market review - Copper retreats on worries over China demand,
rate hikes - Copper prices slipped on Monday, weighed down by worries
about the economy in top metals consumer China as it grapples with
fresh COVID-19 cases, and uncertainty over U.S. interest rate hikes. - more
The price of China's ferrochrome continued to rise - At the beginning
of the week, the price of China's ferrochrome continued to rise, among
which the price of high carbon ferrochrome rose again by 100 yuan/ton,
and the price of low and medium carbon ferrochrome rose again by 200
yuan/ton. - more
Indonesia appeals WTO ruling in nickel dispute against EU - Indonesia
on Monday filed an expected appeal against a World Trade Organization
(WTO) panel ruling that was in favour of the European Union (EU) in a
dispute over Jakarta's ban on nickel ore exports, the WTO said. - more
Taiwan’s Tang Eng’s revenue decreases in Nov y-o-y on poor market
demand - Tang Eng Iron Works Co., Ltd., one of the main stainless steel
manufacturers in Taiwan, reported its consolidated revenue of NT$1.25
billion in November, a month-on-month increase of 3.6% and a
year-on-year decrease of 18.5%. - more
Outokumpu launches stainless steel product with 92% lower carbon
footprint than industry average - Stainless steel producer says new
product has 'smallest emission intensity in the world'. - more
Courtesy AISI - In the week ending on December 10, 2022, domestic raw
steel production was 1,635,000 net tons while the capability
utilization rate was 73.3 percent. Production was 1,768,000 net tons in
the week ending December 10, 2021 while the capability utilization then
was 80.1 percent. - more
Capturing motion and magic in stainless steel - more
Monday, December 12
Daily Nickel/Stainless Steel Briefing
Nickel closed Friday's trading
session at $13.28/lb ($29,275/tonne). Indicators at 6:00 am CST today show
nickel trading around $.06/lb
higher. Stockpiles of nickel stored in LME approved warehouses fell on
Friday and started this trading week, just over the 53,000 tonne level.
Cancelled warrants fell below 9% today - an incredibly low number.
Nickel pulled another bull start, bear end turn on Friday, with
Shanghai ending slightly lower last night as well. Lot of talk making
the rounds again about the future of the London Metal Exchange. The
timing makes us think some of this may have to do with parties
disappointed in the decision not to ban Russian nickel, stirring the
pot. Then again, the volatility caused by lack of participation, is not
helping their cause. The U.S. Fed meets Tuesday and Wednesday, and the
market appears to be confused on what rate the Fed will raise rates.
This decision will affect the US Dollar strength, so it could easily
have a downstream effect on nickel trading this week. Stay safe out
there and have a great week!
Average price of LME traded cash nickel
so far this month
- $12.98/lb
Reports
Reuters metals morning - Copper retreats on worries over China demand, rate hikes - more
Friday's market review - Copper hits highest since June on hopes for
China rebound - Copper prices on Friday touched their highest since
June as investors anticipated that China’s easing of coronavirus
restrictions will boost economic growth and metals demand. - more
Analysis: Turbulence still haunts LME nickel, months on from trade
debacle - With memories still fresh of the nickel market meltdown in
March, the industry didn't need a reminder about just how dysfunctional
the London Metal Exchange's (LME) nickel contract has become; but last
month it got one anyway. - more
LME nickel fluctuates more than $4,000 in a single day - more
LME Draws Takeover Interest From Rivals After Nickel Crisis - more
China's steel industry PPI decreases by 18.7 percent in Nov - In
November this year, China's producer price index (PPI) for its ferrous
metal smelting and rolling sector declined by 18.7 percent year on
year, with the declining pace 2.4 percentage points slower compared to
that recorded in October this year, while down 1.9 percent month on
month, according to the data released by China's National Bureau of
Statistics (NBS). - more
U.S. tariffs on steel and aluminum imports violate international trade
rules - WTO - The World Trade Organization Commission has determined
that US tariffs on steel and aluminum are inconsistent with
international trade obligations and recommended changes to the tariff
program. - more
USW: WTO’s Section 232 Decision Just Plain Wrong - more
‘China is building one battery gigafactory a week; the US one every
four months’: Simon Moores - Simon Moores, of Benchmark Mineral
Intelligence, succinctly drove the point home when he testified before
our committee last year that, ‘We are in the midst of a global battery
arms race, in which so far the U.S. is a bystander.’ - more
Nickel closed Thursday's trading
session at $13.59/lb ($29,950/tonne). Indicators at 6:00 am CST today show
nickel trading around $.17/lb
higher. Stockpiles of nickel stored in LME licensed warehouses rose on
Thursday and started today's session just over the 53,200 tonne level.
Nickel was entering 'near' virgin pricing territory
early in the yesterday's session, but it ended lower by closing,
breaking a weekly bear then turning bullish daily trend. We are
starting today not quite as dramatically, but the price is back over
the $30,000 tonne level at the moment. We will have to wait and see if
yesterday's bull-bear turn is the new daily pattern, or a turning
point. The bulls are finding it difficult to stay above the $30,000
tonne level, but they are finding it easier to trade there. Stay safe
out there and have a great weekend!
Average price of LME traded cash nickel
so far this month
- $12.89/lb
Reports
Reuters metals morning - Copper rises to more than 5-mth high on hopes of strong Chinese demand - more
Thursday's market review - Copper rises as Goldman predicts run to
record highs - Copper rose on Thursday on hopes that an easing of
coronavirus controls in top consumer China will increase demand, with
Goldman Sachs predicting prices could reach a record high of $11,000 in
a year. - more
Xiangyu Group’s project in Indonesia produces more than 3 million tons
of stainless steel as of Jun 2022 - Xiamen Xiangyu Group connected
China's huge market and technological advantages with Indonesia's local
resource advantages. - more
The global race to secure critical minerals heats up - more
China's stainless steel spot price rebounds, supporting short-term
costs - Due to the recent strength of China's stainless steel futures
and the impact of various factors such as the rebound in the value of
the renminbi, the spot market, which has been sluggish for many
consecutive days, ushered in an upward trend again. - more
Outokumpu and Klöckner ink agreement for low-emission stainless steel -
Finland-based stainless steel producer Outokumpu has announced that it
is starting cooperation with German-based Klöckner & Co. for the
first coil made of emission-minimized stainless steel.. - more
Steel producer prices in Mexico fall 22 percent in November - Producer
prices for Mexican steelmakers decreased 22.3 percent in November,
year-on-year, according to an analysis by SteelOrbis with data from the
national statistics agency Inegi. - more
Nickel closed Wednesday's trading
session at $13.79/lb ($30,405/tonne). Indicators at 6:00 am CST today show
nickel trading around $.57/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell by
over 1000 tonnes on Wednesday and started today just over the 52,500
tonne level. Nickel is trading at its highest since April this morning,
and while yesterday followed it's bearish morning and bullish afternoon
pattern, this morning the bull is wide awake early. Nickel is over the
$31,000/tonne level at the moment and was well over the $33,000/tonne
earlier. Business media credits China's decision to start backing off
on its zero-COVID protocols for the bullish trend. Whatever the reason,
we are entering pricing territory we have only seen a few times 'ever',
and those earlier occasions were part of exaggerated runs, including
the March debacle, and the 2007 price spike. Pricing pain for
downstream users is sure to follow. Stay safe out there and have a
great pre-Friday!
Average price of LME traded cash nickel
so far this month
- $12.65/lb
Reports
Reuters metals morning - Most rise on demand hopes as China eases COVID curbs - more
Wednesday's market review - Aluminium falls as weak China data fuels
demand worries - Aluminum prices slipped on Wednesday after weak
Chinese trade data fueled worries about demand from the world’s top
metals consumer, overshadowing the easing of COVID-19 restrictions in
the country. - more
Taiwan's stainless steel mills' orders pick up - Recently, LME nickel
prices rose continuously and the price trend in China has also hiked,
which strengthened market confidence. - more
Miner Vale looks to close deal with partner for base metals in H1 -
Brazilian mining company Vale is in advanced talks with possible
partners for its new base metals investment vehicle and looks to have a
deal concluded during the first half of 2023, Chief Financial Officer
Gustavo Pimenta said on Wednesday. - more
'Nickel and copper's time': Vale to split off metals group to capitalize on battery demand - more
US Trade Import/Export Numbers and Statistics - Nickel - Stainless Steel - or use Search bar at top of page for your item of interest
Nickel closed yesterday's trading
session at$13.28/lb ($29,280/tonne). Indicators at 6:00 am CST today show
nickel trading around $.30/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Tuesday and started today's trading session just over the 53,650 tonne
level. This week has seen bearish morning sessions, followed by bullish
afternoon sessions. Today has started the same but we will have to wait
and see if the afternoon sees the bulls arrival. Fitch raised their
nickel forecast for 2022 from
$24,000/tonne to $25,000/tonne. A real gamble on their part considering
there are only 3 weeks left 'in' 2022. In the article below they
forecast the price for 2023 at $20,000/tonne, falling to $15,000 by
2025 (article below). Reuters is reporting Chinese nickel buyers want
their suppliers to switch from using LME pricing to Shanghai pricing
next year. We have permanent links to the Shanghai market below but if
this looks to happen, we may start posting a number each day in our
update, alongside the LME closing price from the prior day. Other news
linked below. Stay safe out there and have a great hump day!
Average price of LME traded cash nickel
so far this month
- $12.55/lb
Reports
Reuters metals morning - Copper falls as weak China data fuels demand worries - more
Tuesday's market review - Aluminium, copper drop on uncertainty over
China reopening - Aluminum and copper prices slipped on Tuesday,
crimped by a firmer dollar and uncertainty about the easing of COVID-19
restrictions in top metal consumer China. - more
Chinese nickel buyers seek Shanghai not LME pricing for 2023 - China's
nickel buyers, the world's biggest purchasers of the metal, have asked
producers to switch to Shanghai Futures Exchange (SHFE) contracts to
price their supplies next year, two sources with direct knowledge of
the matter said. - more
The Price of Stainless Steel Rose Due to Production Reduction and Logistics Recovery - more
Fitch Ratings Updates Global Metals & Mining Price Assumptions -
(excerpt) Our increased nickel price assumption for 2022 reflects a
price rally in a rather illiquid and volatile market, although our
fundamental views on supply and demand remain unchanged. - more
India's steel ministry seeks import tax waiver for coking coal -
sources - India's steel ministry has asked the finance ministry for a
waiver of import tax on coking coal among a slew of raw materials, as
it scrambles to fill a shortage of steel making ingredients, two
government sources said on Tuesday. - more
India’s Jindal Stainless starts construction of stainless steel park in Odisha - more
US makes final ruling of CVD expedited sunset review on South Korea’s
stainless steel sheet and strip in coils - According to the final
results of an expedited sunset review of the countervailing duty (CVD)
order, the US Department of Commerce (USDOC) found that revoking the
existing CVD order on stainless steel sheet and strip in coils from
South Korea .... - more
Glencore 2023 production outlook disappoints, shares fall -
London-listed Glencore cut 2023 production guidance across all the
commodities it mines, missing consensus estimates and sending its
shares sharply lower on Tuesday. - more
Oman to build a new steel plant worth $3 billion in 3 years - The
construction of the new steel plant is expected to be completed by
2026, after which it will produce five million metric tons of green
steel per year. - more
Nickel closed Monday's trading
session at $12.94/lb ($28,520/tonne). Indicators at 6:00 am CST today show
nickel trading around $.23/lb
lower. Stockpiles of nickel stored in LME licensed warehouses rose over
1,000 tonnes yesterday, for a second time this month, and started today
just over the 54,200 tonne level. Nickel is trading lower this morning,
and hovering around the $28,000 tonne level at the moment. Yesterday
was only the third trading session of the month, and the market is
already facing reduced production at the old Goro mine of New Caledonia
due to a tailings leak, and stopped production at a mine in Australia
due to a power station fire. So far the market seems to be more
interested in a stronger US Dollar, but the Euro has recovered much of
its summer and fall losses since November, which just happens to be
when the recent nickel bull run began. The volcano on Java Island in
Indonesia is of little concern to nickel miners there. Many of them are
located on, or near Sulawesi Island, and if something major happens
there, we could see traders show some concern. Slow news day. Stay safe
out there and enjoy your 'it's no longer Monday'.
Average price of LME traded cash nickel
so far this month
- $12.47/lb
Reports
Reuters metals morning - London copper prices rise on China COVID easing - more
Monday's market review - China demand hopes fuel copper's rise to
three-week peak - Copper prices rose to three-week highs on Monday as
hopes for stronger demand were boosted by easing COVID restrictions in
top consumer China, while a higher dollar in afternoon trade weighed on
sentiment. - more
Thailand decides to impose AD duty on cold-rolled stainless steel from
Malaysia & Indonesia - Thailand's authority decided to impose
anti-dumping duty on imported cold-rolled (CR) stainless steel from
Malaysia and Indonesia. - more
Courtesy AISI - In the week ending on December 3, 2022, domestic raw
steel production was 1,630,000 net tons while the capability
utilization rate was 73.1 percent. Production was 1,801,000 net tons in
the week ending December 3, 2021 while the capability utilization then
was 81.6 percent. - more
Why the Balance of Power Has Shifted From Buyers to Sellers - Is the
balance of power in buyer-seller relationships finally shifting in
favor of upstream suppliers? - more
Nickel closed Friday's trading
session at $13.09/lb ($28,865/tonne). Indicators at 6:00 am CST today show
nickel trading around $.30/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Friday and started this week just over the 53,200 tonne level. Nickel
jumped over $1200/tonne on Friday, but has lost about half that so far
this morning. Shanghai ended higher overnight, but that appears to be
playing catch-up to LME's Friday movement. While down today, nickel
remains in a bullish trading environment. Stay safe out there and enjoy
your Monday.
Average price of LME traded cash nickel
so far this month
- $12.27/lb
Reports
Reuters metals morning - Copper hits 3-week high after more Chinese cities ease COVID curbs - more
Friday's market review - Copper hits highest in over two weeks on China
easing COVID curbs - Copper prices jumped to their highest in over two
weeks on Friday in a volatile session as investors cheered moves by top
metals consumer China to ease COVID-19 restrictions. - more
HSBC resigns as LME member after exiting industrial metals - HSBC
(HSBA.L) has resigned its membership in the London Metal Exchange, the
LME said on Friday, after the bank decided to close its industrial
metals business two years ago. - more
Australia's IGO suspends nickel output after fire - Australia’s IGO Ltd
has suspended production at its Nova nickel operation in Western
Australia for around four weeks after a fire damaged its power station
over the weekend, the miner said on Monday. - more
MEPS revises down global stainless steel production forecast for 2022 -
MEPS revised the global stainless steel production forecast for 2022
from 58.6 million tons to 56.5 million tons, and the output for 2023 is
expected to rebound to 6 million tons. - more
EUROFER welcomes WTO ruling confirming Indonesia's illegal export ban
of nickel ore - EUROFER welcomes the WTO Panel report ruling against
Indonesia’s ban on the export of nickel ore. - more
Will Indonesia’s appeal of WTO nickel dispute fall into a void? - more
Nickel crucial as electric vehicles take off - Mark Selby, chief
executive of Canada Nickel Company, talks with the Financial Post’s
Larysa Harapyn about the role of nickel in the transition to electric
vehicles. - more
Goro nickel mine faces increased regulation after tailings leak -
Authorities in New Caledonia imposed additional regulations that could
limit production in the future at the Goro nickel mine -- one of the
world’s largest deposits -- after a recent waste-dam leak. - more
Nickel closed Thursday's trading
session at $12.52/lb ($27,600/tonne). Indicators at 6:00 am CST today show
nickel trading around $.02/lb
lower. Stockpiles of nickel stored in LME licensed warehouses rose on
Thursday and started today just under the 53,300 tonne level. Shanghai
nickel fell slightly overnight, and so far this morning, LME traders
appear to be wondering why. The Euro is trading at its highest since
June against
the U.S. Dollar, and this is boosting London traded base metal values.
The US manufacturing PMI fell below 50 for the first time since May
2020. All four of the major global PMI's we follow are below 50 this
month (charted here),
but at least in the U.S., analysts are scratching their heads and
wondering where the dreaded recession is hiding? Quite possibly the
same place the diesel shortage and rail strike that were also going to
shut down the economy in November are at. Speaking of the rail strike,
Congress reached a deal overnight to stop any such strike from
happening and Biden has promised to sign it. It's the first Friday of
December and there are 23 days left until Christmas. Stay safe out
there and have a great weekend!
Average price of LME traded cash nickel
so far this month
- $12.22/lb
Reports
Reuters metals morning - Copper edges up on softer dollar, easing China COVID curbs - more
Thursday's market review - Copper extends gains on Powell comments,
China demand hopes - Copper prices on Thursday added to gains from the
previous session as investors bet that slower U.S. interest rate hikes
and an easing of China’s COVID-19 controls would improve the outlook
for demand. - more
The London Metal Exchange's near-death nickel experience: Andy Home -
The 145-year-old London Metal Exchange (LME) came perilously close to
imploding in March as its nickel contract turned wild. - more
Thailand imposes AD duty on CR stainless steel from Malaysia and
Indonesia - Thailand’s Committee of Dumping and Subsidy
has announced that it has imposed antidumping duty (AD) on cold
rolled stainless steel imported from Malaysia and Indonesia. - more
SunSirs: In the Low Consumption Season, the Price of Stainless Steel
Fell in November - According to the price monitoring of SunSirs, the
price of stainless steel fell slightly in November. At the beginning of
the month, the price of stainless steel was 15,955.71 RMB/ton. - more
China’s stainless steel imports & exports increase in Jan-Oct y-o-y - more
VW confirms looking in Canada to build first North America cell plant -
Volkswagen has begun searching for a site for the German carmaker's
first battery cell factory in North America, its CEO announced on
Thursday. - more
Stainless Steel Sheet and Strip in Coils from the Republic of Korea:
Final Results of Expedited Sunset Review of the Countervailing Duty
Order - pdf here
The unjustified
invasion of Ukraine by Russia and the subsequent weaponization of
energy against Europe by Russia, has proven once again that
participation in the global economy, while necessary, makes one
vulnerable to geopolitical coercion and disruptions.
Thursday, December 1
Daily Nickel/Stainless Steel Briefing
Nickel closed Wednesday's trading
session at $12.24/lb ($26,980/tonne). Indicators at 6:00 am CST today show
nickel trading around $.01/lb
higher. Stockpiles of nickel stored in LME licensed warehouses rose
sharply on Wednesday and started the new month just over the 53,100
tonne level. Nickel is trading just a smidgen over the $27,000/tonne
level, and at least for the moment, it appears the bulls are grazing.
While we showed Yieh announcing a price drop for December, fellow
Taiwan company Walsin Lihwa has announced a price increase for December
stainless steel wire. Norilsk forecast a 109,000 tonne nickel surplus
for this year, and about the same for next. We started the year with
LME stockpile numbers at the 100,000 tonne level, and we are just over
53,000 today. If there is a surplus, it is because LME numbers have
become highly insignificant to gaging real world supply and demand
parameters. We thought it was the game playing with inventory that
clouded these numbers, but that fairly well ceased in March, when the
market imploded. So we will continue to monitor and report LME numbers
daily, but keep in mind they mean little in comparison to what they
used to. Stay safe and have a great day ..... and month.
Average price of LME traded cash nickel
so far this month
- $11.46/lb (average November)
Reports
Reuters metals morning - Copper rises as dollar slides, China loosens COVID curbs - more
Wednesday's market review - Copper hits near two-week high on weaker
dollar - Copper prices climbed to their highest in nearly two weeks on
Wednesday, boosted by a weaker dollar amid hopes that inflation is
peaking and the pace of central bank rate hikes will slow. - more
Surge in nickel prices threatened to blow $2.6bn hole in key LME entity - more
Walsin Lihwa moderately hikes stainless steel wire rod prices for Dec -
Walsin Lihwa, a leading stainless steel wire rod manufacturer in
Taiwan, announced to hike its new prices for stainless steel wire rods
for December. - more
Russia's Nornickel sees global nickel surplus at 109,000 T in 2022 -
Russia's Nornickel said on Wednesday it sees the global surplus in the
nickel market coming in at 109,000 tonnes in 2022, and 110,000 tonnes
next year. - more
WTO backs EU in dispute with Indonesia over nickel ore ban - The World
Trade Organization recommended on Wednesday that Indonesia change
measures including a ban on nickel ore exports in a dispute with the
European Union. - more
BHP's CEO expects Chinese economic growth to continue - BHP Group Ltd
Chief Executive Mike Henry told the Reuters NEXT conference on
Wednesday that "all fundamentals are in place" in China for continued
economic growth over the next 20 years. - more
(all
ton listings are metric tons = 2204.622 pounds ) Updated Monday thru
Thursday before 7 am CST, Friday version before 8 am CST - DisclaimerOriginal content and opinions copyright
www.estainlesssteel.com. All prices shown on
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Daily Nickel/Stainless Steel Briefing 
($30,100/tonne). Indicators at 6:00 am CST today show
nickel trading around $.31/lb 
higher. Stockpiles of nickel stored in LME licensed warehouses rose on
Thursday and started today's session just under the 55,500 tonne level.
It looks as if the market, or at least the bulls in
the market, want to end the year over the $30,000/tonne level, with
plenty of cushion.
Considering nickel closed 2021 at $20,585/tonne, that would make 2022
one
heck of a year for the nickel bulls. And then there was the March
debacle, which is still sending tremors thru the market even now.
Shanghai did not follow LME's fall yesterday and rose overnight to
232,000 y/t, possibly inspiring LME to follow suit today. It's the
final trading day of the week, month and
year and the LME and Shanghai are closed Monday for the New Year's
holiday, so our
next update will be Tuesday, January 3rd. We want to end the year as we
started it, by thanking our readers for spending a few minutes of their
day with us, and our sponsor, P A Inc, for making these daily updates
possible - for all of 2022, and again for all of 2023. We toast the new
year with a quote from the old TV series MASH - "Here's to the New
Year. May she be a damn sight better than the old one, and may we all
be home before she's over." May 2023 bring you and yours health, hope,
and happiness. We hope to see you again - next year. 
Reports
Shanghai Metals Market
London Metals Market
Stainless steel market players keep cautiously optimistic for 2023 -
Global stainless steel companies posted their strong financial
performance in spite of a volatile steel market this year. -
Coal, gas lead 2022 commodities rally; recession fears greet New Year -
Coal and natural gas markets were poised on Friday to end 2022 with
strong gains after a global energy crisis triggered by the
Russia-Ukraine war stoked a sharp upswing in prices, while tighter
supplies expected in 2023 could fuel more gains. - 
Viewpoint: LME nickel grapples with identity crisis - Trading volumes
in the global benchmark nickel contract on the London Metal Exchange
(LME) have collapsed amid reduced trading hours, prices have swung
wildly and decoupled from the physical market, and the declining share
of LME-deliverable nickel in world supply and consumption has brought
into question the future utility of the index as a global price
reference. - 
Слава Україні! - 
Courtesy AISI - In the week ending on December 24, 2022, domestic raw
steel production was 1,614,000 net tons while the capability
utilization rate was 72.3 percent. Production was 1,768,000 net
tons in the week ending December 24, 2021 while the capability
utilization then was 80.1 percent. - 
November 2022 crude steel production - World crude steel production for
the 64 countries reporting to the World Steel Association (worldsteel)
was 139.1 million tonnes (Mt) in November 2022, a 2.6% decrease
compared to November 2021. - 
Indonesia terminates AD duties on cold-rolled stainless steel from
China, Malaysia - Indonesia has terminated the anti-dumping (AD) duties
on cold-rolled stainless steel from China and Malaysia. - 
Steel firms pour US$1 billion into Zimbabwe - Major steel-processing
firms developing operations in Zimbabwe have this year invested over
US$1 billion into their projects, which are at various stages of
implementation, official data showed yesterday. - 
India
imposes anti-dumping duty on stainless steel tube imports from China -
India has imposed an anti-dumping duty on stainless steel seamless
tubes and pipe imports from China for five years to remove "injury" to
the domestic industry, according to a government notification. - 
Nickel market stirred by rumors of Nornickel considering production cut
by 10% next year - The LME nickel futures prices surged by US$830
yesterday (December 20), closing at US$28,045/ton, a hike of more than
3% from the previous day. - 
Mining tycoon Palmer sells Australian nickel refinery for reported $1.3
billion - Australian mining magnate Clive Palmer has sold the troubled
Yabulu nickel refinery in Queensland state to Swiss special purpose
vehicle Zero Carbon Investek - a deal that has reportedly fetched A$2
billion ($1.3 billion). - 
Coming EU CBAM may affect China's stainless steel exports - The Carbon
Border Adjustment Mechanism (CBAM) in the EU was expected to start
trial operation at the end of 2023, which will cover the industries of
steel, cement, aluminum, fertilizer, and electricity. - 
POSCO resumes production at typhoon-affected steel plant in Pohang -
South Korean steelmaker POSCO said on Sunday it had resumed operations
at a key steel plant after a three-month typhoon shutdown. - 
Taiwan’s stainless steel upstream mills’ revenue impacted by weak
demand - Yieh United Steel Corp. (Yusco), a leading stainless steel
mill in Taiwan, reported that its self-consolidated revenue totaled
NT$3.377 billion in November this year, dropping by 35.14% compared to
the same month a year ago. - 
ArcelorMittal steel plant in Poland refuses to restart blast furnace
due to lack of orders - ArcelorMittal Poland shut down Blast Furnace
No. 3 in early September amid a slowdown in economic activity in
Europe, lower demand, higher levels of imports from outside the EU, and
higher natural gas and electricity prices. - 
Metallurgical plant of Metinvest in the Dnepropetrovsk region resumed
the production of pig iron - The Kametstal plant of the Metinvest group
resumed work on iron smelting after a temporary cessation of production
as a result of shelling of the power structure - 
Outokumpu launches stainless steel product with 92% lower carbon
footprint than industry average - Stainless steel producer says new
product has 'smallest emission intensity in the world'. - 
‘China is building one battery gigafactory a week; the US one every
four months’: Simon Moores - Simon Moores, of Benchmark Mineral
Intelligence, succinctly drove the point home when he testified before
our committee last year that, ‘We are in the midst of a global battery
arms race, in which so far the U.S. is a bystander.’ - 
Steel producer prices in Mexico fall 22 percent in November - Producer
prices for Mexican steelmakers decreased 22.3 percent in November,
year-on-year, according to an analysis by SteelOrbis with data from the
national statistics agency Inegi. - 
Miner Vale looks to close deal with partner for base metals in H1 -
Brazilian mining company Vale is in advanced talks with possible
partners for its new base metals investment vehicle and looks to have a
deal concluded during the first half of 2023, Chief Financial Officer
Gustavo Pimenta said on Wednesday. - 
Glencore 2023 production outlook disappoints, shares fall -
London-listed Glencore cut 2023 production guidance across all the
commodities it mines, missing consensus estimates and sending its
shares sharply lower on Tuesday. - 
Thailand decides to impose AD duty on cold-rolled stainless steel from
Malaysia & Indonesia - Thailand's authority decided to impose
anti-dumping duty on imported cold-rolled (CR) stainless steel from
Malaysia and Indonesia. - 
Nickel crucial as electric vehicles take off - Mark Selby, chief
executive of Canada Nickel Company, talks with the Financial Post’s
Larysa Harapyn about the role of nickel in the transition to electric
vehicles. -
Goro nickel mine faces increased regulation after tailings leak -
Authorities in New Caledonia imposed additional regulations that could
limit production in the future at the Goro nickel mine -- one of the
world’s largest deposits -- after a recent waste-dam leak. - 
VW confirms looking in Canada to build first North America cell plant -
Volkswagen has begun searching for a site for the German carmaker's
first battery cell factory in North America, its CEO announced on
Thursday. - 
