Nickel Market Outlook

Advisory Bazaar Info Services

* Nickel prices found support from firm stainless steel sentiment, while nickel sulphate production costs edged up slightly.

* With costs remaining elevated, some producers are maintaining firm offers, while producers with high inventories are focusing on destocking.

* Month-end procurement inquiries have increased, but spot demand remains weak, keeping pressure on nickel salt prices.

* Prolonged dry weather in the Luwu region of South Sulawesi has affected water and power supplies, reducing production rates at some nickel smelters.

Outlook: Nickel sulphate prices may remain under pressure in the near term due to weak spot demand. However, the water shortage in the Luwu region could increase supply-side risks.