Base metals prices on the London Metal Exchange closed in negative territory across the board on Tuesday January 30, with nickel slumping over 3%.
Nickel prices rallied to a fresh two-and-a-half-year high of $13,915 per tonne last week, but has now come under increased selling pressure and a downward correction. "It's [nickel's] price action can be quite volatile. We are seeing broad based risk-off sentiment returning to the market, with the dollar index trying to recover higher, which has clipped the bullish wings seen in the base metals complex. Judging by the already overstretched price action, we will not be surprised to see a turnaround in nickel," Metal Bulletin analyst Andy Farida said earlier this morning. A firmer...