Nickel Rebounds From Near 10-Month Low

Nickel traded around $15,400 per tonne, rebounding from its lowest level in nearly ten months as traders closed short positions following the recent decline. At the same time, easing US Treasury yields reduced concerns over tighter financial conditions, offering modest relief to commodity prices. However, high inventories, weak stainless steel demand and increased Indonesian ore supply continued to weigh on the outlook. Indonesia’s lower October nickel ore benchmarks and plans to increase production under supplementary mining quotas reinforced expectations of ample supply. Additionally, the International Nickel Study Group projected a 19,000-tonne global surplus in 2026, reversing its previous deficit forecast, with the surplus expected to widen to 70,000 tonnes in 2027. Reduced smelter purchasing further underscored weak underlying demand.