Nickel Price Plunges 0.97% to US$21,200 per Ton

Nickel trading on the London Metal Exchange (LME) fell 0.97% over the past two days, breaking through US$21,200 per ton. On Friday, July 8, 2022, the nickel price was still at US$21,405 per ton. However, transactions on Monday, July 11, 2022, saw the nickel price for the next 3-month contract traded at US$21,200 per ton.

This price represents a difference of US$205 compared to the previous day's closing price. The decline in nickel prices is due to supply and concerns about Russian supply. As is known, Russia supplies about 10% of the world's nickel needs. Furthermore, the Russian invasion of Ukraine has triggered a decline in global nickel prices.

Nickel is one of the materials used in the manufacture of stainless steel and a key component in electric vehicle batteries. Meanwhile, the Indonesian benchmark nickel price currently stands at US$27,414 per ton. Indonesia is the country with the world's largest nickel ore reserves.

The nickel price at the end of last year was still at US$20,190 per ton, but as of Monday, July 11, 2022, it has surged 4.76% year-to-date (YTD).