Spot Nickel Premium to Narrow in the Near Further

Nickel is the essential allying element in the 300 series stainless steel grades. The presence of nickel results in the formation of an “austenitic” structure that gives these grades their strength, ductility and toughness, even at cryogenic temperatures. It also makes the material non-magnetic. While the role of nickel has no direct influence on the development of the “passive” surface layer, it results in significant improvement in resistance to acid attack, particularly with sulfuric acid. So that the price of nickel affected the price of stainless steel.  

Nickel price continued to trend high. Spot nickel premium is likely to narrow further and some market participants are likely to remain on the sidelines.

Nickel on the LME ended the weekend in a volatile session following copper after a first-phase trade deal between China and the US dispelled concerns about the health of the global economy. Some analysis pointed out that the current base metals remained steady.

During December 20’s night trading hours, SHFE nickel fluctuated upward. The most active nickel contracts finally closed at 113,400 yuan/mt, up 1,680 yuan/mt or 1.5%.

HCADTO Stainless Steel Co., Ltd. the Stainless Steel Division of ADTO GROUP, is one of the leading manufacturers of stainless steel products in China. We will continue to pay attention on the price of nickel and stainless steel.