The London Metal Exchange (LME) nickel futures price on March 10 slightly increased by US$19/ton to US$17,488/ton. The spot price also edged up by US$14/ton to US$17,280/ton. Besides, inventories monitored by the LME decreased by 330 tons, reaching 287,088 tons. Since the beginning of this month, inventories have declined by 330 tons, representing a decrease of 0.3%.

Nickel prices edged higher after remarks by Trump led investors to assess that geopolitical tensions in Strait of Hormuz could ease soon, weakening the US dollar. At the same time, China’s PPI and CPI both showed improvement, while the pace of manufacturing resumption accelerated, driving a broad rise in base metals and supporting a slight increase in nickel prices.

Market participants said the nickel market is currently characterized by strong expectations but weak demand. On the supply side, the rainy season in the Philippines and reduced production in Indonesia tightened supply, while smelter production costs remain high. However, downstream buyers continue to adopt a cautious purchasing approach and demand remains weak. In the short term, nickel prices are expected to fluctuate within a narrow range.