BEIJING- Nickel prices in Shanghai fell on Monday to a 14-month low, dragged down by weakening demand from the stainless steel sector and rising supplies.
The most-traded December nickel contract on the Shanghai Futures Exchange was down 3.8 percent to 124,200 yuan ($17,223.45) per metric ton as of 0159 GMT, the lowest since September 2022.
Three-month nickel on the London Metal Exchange slid 0.5 percent to $16,055 per ton, extending losses after hitting a two-and-half-year low last Friday.
Analysts attributed lacklustre demand for the metal to wider production cuts among Chinese stainless steel producers, the main consumer of nickel, and lower-than-expected consumption from electric vehicles.
Also weighing on the market were rising stocks of the metal, as domestic output has been on a steady uptrend this year with a capacity ramp-up.
SHFE nickel stocks rose 16.4 percent last Friday to 12,623 tons, about four times higher than the levels at the beginning of this year. – Reuters
