GLOBAL NICKEL WRAP: China briquette premium dips despite SHFE listing; all others flat

May 27, 2021 / www.metalbulletin.com / Article Link

Quiet spot trade, apart from in China's nickel briquette market, left nickel premiums flat worldwide in the week to Tuesday May 25, sources told Fastmarkets.

Poor arbitrage offsets optimism in China's nickel market over Glencore's briquette listing on SHFE.US premiums hold although higher briquette premiums become more common.European nickel stocks subside but premiums are unmoved.Full-plate premiums flat in minimal Chinese trade
China's nickel briquette market came to life in the week to May 25, while an ongoing arbitrage loss between markets in London and Shanghai left imported plate premiums flat, sources said.
Nickel traders were encouraged after the Shanghai Futures Exchange allowed Glencore's Nikkelverk nickel brand to be physically deliverable as a registered brand against its nickel futures contracts as of May 21.
"People are asking about nickel briquette and the market is alive with offers everywhere because briquette is still a good precursor to nickel sulfate for battery chemical makers and at a competitive price," one trader told Fastmarkets.

"With big producers having resumed production, market liquidity...

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