Base metals prices on the London Metal Exchange plummeted at the close on Thursday March 22, while the dollar index staged a recovery.
Nickel prices were the worst affected closing 2.7% lower and trading at a low of $13,060 per tonne - its lowest since February 12. The metal is under pressure from poor underlying demand from Chinese stainless steel mills. "Stainless steel prices in China have struggled to replicate the success in nickel prices and some market participants have lowered their prices further to draw down their inventories. Metal Bulletin has learned that shrinking profit margins may force mills to halt production," Andy Farida, Metal Bulletin analyst said."We expect LME nickel prices to revert lower again if follow-up...