Nickel premiums rise in Europe and US, China retreats

November 11, 2021 / www.metalbulletin.com / Article Link

Nickel premiums rose in Europe and the United States in the week ended November 10 due to tight supply conditions pushing premiums and spot activity higher; China retreated slightly amid an increased arbitrage loss.

US nickel premiums continue to rise to historic highsPremiums in Europe rise to highest level in 2021Chinese premiums retreat slightly with arbitrage loss between London and ShanghaiEuropean spot premiums driven up by 2022 expectations
Nickel market participants in Europe continue to focus on long-term contracts, with negotiations in full swing ahead of the International Ferro-Alloys Conference in Prague on November 15-16.
Stainless steel demand has been strong in 2021, with output rising by 24.9% in the first half of the year, data from the International Stainless Steel Forum shows.
Though stainless-steel output is expected to decline due to power constraints and a slowing Chinese economy, demand from the battery industry and supply issues should support prices and premiums.
"The current need for consumers to secure material [for next year] is driving up [spot] prices," a producer said.

Fastmarkets analysts forecast a deficit of 78,000 tonnes for...

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