The London Metal Exchange (LME) nickel futures rebounded by US$150 yesterday (March 19), closing at US$16,399/ton, ending a four-day decrease. The spot price also surged by US$155, reaching US$16,170/ton.

Affected by the continued rise in ferronickel transaction prices, China’s upcoming meeting to focus on stabilizing the housing market, and the Fed's hint of two interest rate cuts this year, nickel prices rebounded from a two-week low.

Nickel prices have risen by US$966 since March, an increase of 6.25%, and they have hiked by US$1,077 so far this year, a 6.9% growth. LME inventory increased by 534 tons to 201,330 tons on March 19, a monthly increase of 3.26%.

Although the Fed interest rate remains unchanged and the US dollar is strengthening, market supply is still loose and nickel prices are expected to fluctuate in the short term.