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|LME Ni Price Continues to Drop and Inventory Updates All-time High Level|
|=Speculators' sentiment gets aggravated over fears of early reduction in U.S. QE3=|
LME nickel price as cash seller settled on January 28 was US$14,080/MT, down for 4 consecutive days. |
Albeit the price went up temporarily in the middle of the month due to the impact of the ore export ban implemented by the Government of Indonesia, thereafter it slowed down and turned to the downward trend after taking breaks and passing a peak of US$14,645 on January 22.
The Government of Indonesia seems to continue the export ban on nickel ore from now on, but even for this matter, the feeling of tightness in the market will become less and have no power to prop up the market because the world's demand-and-supply balance for nickel is in an excess supply and the plural number of economic analysts forecast this government will ease the export ban on nickel ore.
On the other hand, as there has been a possibility of the early reduction in the U.S. Quantitative Easing program 3 (QE3) on LME nickel as futures product, the speculators' sentiment has got aggravated and the market has shown a downward trend.
Besides, although the inventory level also showed a downward trend in the beginning of the year, it turned to the upward trend from January 14 and updated an all-time high record with 264,090 tons at the time of trade opening on January 28.
|last modified : Tue 04 Feb, 2014 [13:01]|