London Metal Exchange (LME) nickel futures dropped to US$19,062 per ton last Friday (May 29), retreating from a recent high. Unresolved geopolitical tensions and a strong monthly US dollar triggered the decline.
Despite this drop, nickel prices held above the US$19,000 threshold for two consecutive days. Weekly growth climbed by 0.79%, though the metal finished May with a decrease of 2.13%.
Meanwhile, LME inventories decreased slightly by 120 tons to 276,864 tons, bringing the total monthly reduction to 0.19%.
Short-term prospects remain resilient. Demand stays firm as the European Union categorizes nickel as a critical resource, and Zimbabwe restricts exports. Furthermore, expanding Chinese electric vehicle markets and rising domestic stainless steel production look to support future price stability.