Shanghai nickel posts best week in 13 months on EV battery hope

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Shanghai nickel posts best week in 13 months on EV battery hope

On Friday, the 12th of July 2019, Shanghai Nickel had posted its best intra-week gain since June 2018, as more and more investors had been betting on growing demands of nickel, a much-required metal for e-vehicle batteries.

Nickel gained more than 5.5 percent this week in the Future exchange of mainland China, its strongest weekly closure since the week that ended in June 1st, 2018. Aside from that, the most active nickel contract in Shanghai future exchange had wrapped up the day with an intra-day gain of 1.1 percent at $15,051.21 per ton, its highest level in nine months.

Meanwhile, besides the North Atlantic, Benchmark Nickel price had spiked to its three-month high, adding about 0.8 percent to $13,235 per ton in London metal exchange during midday trading hours. Adding that growing interest of electric vehicle manufacturers on EV battery development had prompted the rally, global rating agency, Fitch said at a report, “We believe the main driver of the nickel price rally has been the sustained level of speculative buying ...

due to the metal’s ongoing allure as key demand-beneficiary among metals used in the growing EV battery market”. Despite a robust upsurge in Nickel price, other industry-grade metals remained in the reds amid another set of disdainful China data released on early European trading hours, indicating that latest Nickel rally had almost entirely been prodded by an upbeat EV battery market.