LME nickel inventory made a record of 455,790 tons at the time of trade closing on May 21 (= at the time of trade opening on May 22), which updated an all-time high. The inventory also made a slight decrease during May, but showed an increasing trend owing to sporadic large increase.|
During May, LME nickel price followed an increasing trend in late April, and the prices per ton for cash seller and 3-month seller rose to US$14,415 and US$14,470 respectively on May 6. But, after that, the both prices for cash seller and 3-month seller turned to a declining trend and dipped below US$13,000.
Speculators' hasty sales in response to this declining trend and the liquidation of longs in the weekend were overlapped, which led to occurrence of the big increase in the inventory. At the time of trade closing on May 21, the inventory was increased by 6,048 tons in Singapore, by 2,688 tons in Rotterdam and by 186 tons in Johor, which made a total of 8,922 tons of increase in the inventory.