This page is archived
news covering the period of July 2021
If you are looking for current daily market news, please visit here.
Friday, July 30
Daily Nickel/Stainless Steel Briefing
Nickel closed Thursday's trading
session at $9.01/lb ($19,860/tonne). Indicators at 7:05 am CST today show
nickel trading around $.01/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Thursday and started today just over the 214,600 tonne level. Nickel
came within $50/tonne of the $20,000 level during trading yesterday,
and ended the day with another gainer. This morning, after SMM markets
fell slightly overnight, nickel bulls appear to be in a wait and see
attitude. US equity stock futures are lower, so they may be waiting to
see what kind of mood U.S. trading houses are in. Indonesia scored
another battery factory. That sodium ion battery that China announced
yesterday does not use nickel. Russia is considering pegging their new
mineral export tax to the global price, while Vale and Glencore
reported earnings. Talon Metals has announced it has teamed up with the
USW in Minnesota to push for the approval of its Tamarack project. If,
and that is a big if, they ever open this mine, we wonder how long this
love affair between the mine and the union will actually last. A month?
A week? 1 day maybe? Oh well. It's Friday. Stay safe out there and
enjoy your weekend.
Average price of LME traded cash nickel
so far this month
- $8.51/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Aluminium streaks to three-year highs on Chinese power cuts - more
Thursday's market review - Copper rises as Fed spreads
bullish mood through markets - Copper prices rose on Thursday after
signals from the U.S. Federal Reserve that it was in no rush to tighten
and efforts by China to calm fears of new regulation spread a bullish
mood through markets. - more
Iron Ore Tumbles as China’s Steel Sector Revamp Curbs Demand - Iron ore
tumbled on expectations demand will wane as China deepens steel
production cuts in its drive to clean up the industry. - more
Hyundai Motor, LG's battery unit to invest $1 bln in EV partnership -
South Korea's Hyundai Motor Group and LG Energy Solution said on
Thursday they would set up a joint venture (JV) in Indonesia to
establish a battery cell plant for electric vehicles (EV), investing
$1.1 billion with each owning half the business. - more
Brazil's Vale revises down year-end iron ore output - Vale SA flagged
potential production setbacks on Thursday amid temporary issues at
multiple iron ore mines, but executives said the Brazilian miner was
still on track to ramp up output in the second half of the year. - more
Glencore ups expectations for FY trading, lowers nickel, coal - more
BHP to power two Australian mines with solar power and battery storage - more
Russia mulls pegging tax on mining firms to global metals prices -
Interfax - Russia is considering pegging a mineral extraction tax (MET)
levied on its metals producers to the global price of their products
from 2022, the Interfax news agency reported on Friday, citing Deputy
Finance Minister Alexei Sazanov. - more
Russian fisheries agency seeks $800 mln from Nornickel over fuel spill - more
Talon Metals partners with Steelworkers union to advance Tamarack nickel project (press release published by Talon Metals)
- Talon Metals Corp. and the United Steelworkers union (USW)
today announced a ground-breaking new workforce development partnership
to advance the Tamarack Nickel Project in Tamarack, Minnesota. - more
Trivia - Is stainless steel ferrous - or non ferrous? - "The simple
answer is that ferrous metals contain iron and non-ferrous metals do
not." - source and more(Answer - stainless steel is ferrous because it contains iron. For instance, 304 stainless steel is around 70% iron.)
Nickel closed Wednesday's trading
session at $8.88/lb ($19,585/tonne). Indicators at 6:00 am CST today show
nickel trading around $.08/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Wednesday, and started today's session just over the 215,400 tonne
level. Nickel is trading higher this morning, but that could be because
the Euro jumped this morning. Apparently Fed chairman Powell told a
press conference yesterday that it would be some time before interest
rates begin to rise, and thus, the U.S. Dollar is losing some of its
'safe haven' status this morning. Not everyone is betting nickel will
trade over $20,000/tonne. Reuters quoted Cailin Birch at the Economist
Intelligence Unit, “Factors such as
rising coronavirus infection rates and a less favorable fundamental
backdrop continue to pose downside risks [to nickel], as will the
threat of
elevated trade tensions between the U.S. and China.” Time will tell if
he is right, but at least for July, nickel remained very bullish, with
the average LME cash price well above February, the highest month
prior. Two days remain in the working week, two working days remain in
the business month. Stay safe out there and have a great day.
Average price of LME traded cash nickel
so far this month
- $8.49/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - London copper rises as dollar weakens after Powell's dovish comments - more
Wednesday's market review - Copper hovers near 6-week
highs as markets await the Fed - Copper prices sat near six-week highs
on Wednesday as investors waited for details from a Federal Reserve
meeting that could shift expectations for U.S. monetary policy. - more
China’s nickel sulphate prices hit new high - China's domestic nickel
sulphate prices rose to a new high on 27 July, with import prices also
surging amid burgeoning demand from the new energy vehicle (NEV) and
battery sectors and tight local supply. - more
POSCO to Build Nickel Plant in Gwangyang by 2023 - POSCO announced on
July 28 that it will invest 230 billion won to build a nickel factory
in Gwangyang by 2023. - more
China’s CATL Announces Sodium Ion Batteries – First Leading Automotive
Battery Manufacturer - China’s CATL said Thursday that it would be the
first major automotive battery manufacturer to announce sodium-ion
batteries and plans to establish a new technology supply chain in 2023.
- more
Tesla co-founder raises $700 million for battery recycling startup -
Redwood Materials, a Reno, Nevada-based battery recycling startup
founded by Tesla co-founder JB Straubel, has raised $700 million at a
$3 billion pre-money valuation led by T. Rowe Price. - more
Mayor who shut Palawan mine serves suspension - Mayor Jean Feliciano of
Brooke’s Point, Palawan, on Tuesday started serving her yearlong
suspension from office, following an order by the Office of the
Ombudsman that found her guilty of oppression or grave abuse of
authority for stopping the operations of a mining company in her town
in 2018. - more
What is the HIPAA Privacy Rule? - The Health Insurance Portability and
Accountability Act’s Privacy Rule is a federal law prohibiting health
care providers, businesses and the people working with them – including
administrative staff, laboratories, pharmacies, health insurers and so
on – from disclosing your health information without your permission. -
more
Nickel closed Tuesday's trading
session at $8.77/lb ($19,342/tonne). Indicators at 6:00 am CST today show
nickel trading around $.10/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell by
over 2000 tonnes and ended that session just over the 215,800 tonne
level. Nickel retreated yesterday on more threats from China to cool
down their steel sector, but is back in the black today. The rival bid
by BHP for Noront Resources is adding some favorable attention to
nickel miners value. It is also confirms the long term value the
world's largest miner (we believe) puts on the future of nickel prices.
This is a complete shift for BHP, who not so long ago, basically
abandoned nickel. Now, they appear to be all in with a new long term
contract with Elon Musk to supply nickel for Tesla batteries. Norilsk
is making an investment in upgrading the port of Dudinka. It's hump day
and there are three business days left in July. Stay safe out there and
enjoy your day.
Average price of LME traded cash nickel
so far this month
- $8.47/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper prices hover near multi-week highs on solid H2 outlook - more
Tuesday's market review - Copper prices dip ahead of Fed meeting - Copper prices
snapped a five-session winning streak on Tuesday as investors held off
on making large bets ahead of a U.S. Federal Reserve meeting expected
to give more direction on monetary policy. - more
Mining giant BHP offers to buy Canada's Noront Resources for $258 mln -
BHP Group has made a C$325 million ($258.45 million) approach for
Noront Resources, rivaling an offer from Australian mining billionaire
Andrew Forrest's Wyloo Metals for the Canadian nickel-copper miner. - more
China looks to more export tariffs to tame booming steel sector - China
is considering imposing more tariffs on steel exports as it seeks to
achieve twin goals of capping domestic production and taming the
surging prices that have fanned concerns about inflation. Futures
dropped. - more
Nornickel plans to invest up to $353 million in Dudinka port upgrade -
Nornickel (the Norilsk Nickel Company) plans to invest up to 26 billion
rubles ($353 million) in the upgrade of the Dudinka port in the
Krasnoyarsk Region. - more
Transportation Roundup - Where’s My Truck? - Long before March 2020,
the transportation industry was facing a serious shortfall in driver
and truck capacity. The pandemic has only amplified that issue. - more
African nations criticize push to fast-track
deep-sea mining talks - African countries, many of which are heavily
reliant on mining, have criticized a move by the tiny Pacific island
nation of Nauru to fast-track international negotiations over deep-sea
mining, an industry that could hurt their economies. - more
Nickel closed Monday's trading
session at $8.97/lb ($19,760/tonne). Indicators at 6:00 am CST today show
nickel trading around $.22/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Monday and ended that session just under the 217,900 tonne level.
Nickel closed at its highest level this year on Monday, beating its February
24th close by $60/tonne. It traded higher in February than it did
yesterday, coming within a hair of the $20,000/tonne level at one point, but
yesterday was its best closing of the year. This morning, it appears
the bulls are taking some profits off the table. Shanghai nickel ended
higher for a third session overnight, but they are following LME nickel
lower this morning. Stainless steel indexes in China were in retreat
mode overnight, well off recent highs. They remain higher than they
were last Thursday, so it will take a lot more daily declines to be
recorded before we see any pattern forming. They have climbed so high,
so quickly lately, that some declines are inevitable. Even a bull has
to rest periodically. News is quiet today although Reuters posted an
interesting story titled "Booming stainless steel output to sustain
nickel prices for months". It's posted below and contains some
interesting information. Stay safe out there and have a great day/
Average price of LME traded cash nickel
so far this month
- $8.45/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper hits multi-week highs on weaker dollar - more
Monday's market review - Copper climbs to 6-week high on
floods in China, weak dollar - Copper prices rose on Monday as floods
in top consumer China sparked demand hopes at a time when inventories
were falling, while a softer dollar also supported prices. - more
Booming stainless steel output to sustain nickel prices for months -
Healthy demand from stainless steel mills and electric vehicle battery
makers is expected to underpin nickel prices over coming months, but
rising supplies from top producer Indonesia are likely to weigh next
year. - more
Taiwan’s Yusco & Tang Eng expected to raise stainless steel prices for Aug - Yieh
United Steel Corp. (Yusco) and Tang Eng Iron Works Co., Ltd., two
leading stainless steel upstream suppliers in Taiwan, will announce
their new prices of stainless steel for August this week. - more
Courtesy AISI - In the week ending on July 24, 2021, domestic raw steel
production was 1,868,000 net tons while the capability utilization rate
was 84.6 percent. Production was 1,350,000 net tons in the week ending
July 24, 2020 while the capability utilization then was 60.3 percent.
The current week production represents a 38.4 percent increase from the
same period in the previous year. - more
Nickel closed Friday's trading
session at $8.81/lb ($19,430/tonne). Indicators at 6:00 am CST today show
nickel trading around $.02/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Friday and start the new week just under the 219,200 tonne level.
Nickel rose over $600/tonne (3.2%+) on Friday, with LME traders
following, after making a sudden switch in follow the leader. Shanghai
traders took nickel higher for a second session overnight, but so far
this morning, LME traders don't seem to be buying this jump. It's the
first business day of the final week of the first month of the second
half of 2021. There are only 152 days left until Christmas and six more
than that left in the year. Stay safe out there and have a good week.
Average price of LME traded cash nickel
so far this month
- $8.43/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper hits near 6-week peak on China floods, equities rout - more
Friday's market review - Copper gains for fourth session
on economic recovery hopes - Copper prices gained for a fourth straight
session on Friday as investors bet that extended easy monetary policy
would help to boost economic recovery and metals demand. - more
June 2021 crude steel production - World crude steel production for the
64 countries reporting to the World Steel Association (worldsteel) was
167.9 million tonnes (Mt) in June 2021, an 11.6% increase compared to
June 2020. - more
January to May 2021 Metals Balances - (excerpt) The nickel market was
in deficit during January to May 2021 with apparent demand exceeding
production by 42.7 kt. In the whole of 2020, the calculated surplus was
92.7 kt. - more
Column: Iron ore stumbles as rising supply runs into China steel
discipline - Iron ore prices have suffered their worst week for nearly
18 months amid signs that the two factors needed for a sustained
correction may be coming into play - Chinese steel producer discipline
and a recovery in supply of ore. - more
Iron ore price holds above $200 a tonne; impact of Chinese slowdown
needs to be monitored - Iron ore prices rose to $ 200 a tonnes,
pressured by concerns about demand prospects for the steelmaking raw
material in top steel producer China. - more
Nickel closed Thursday's trading
session at $8.58//lb ($18,920/tonne). Indicators at 6:45 am CST today show
nickel trading around $.13/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Thursday and ended that session just over the 219,400 tonne level.
Cancelled warrants are climbing again and back in the mid 26% range
today. Nickel punched thru the $19,000/tonne level in early overnight
trading, and has done little since. Stainless steel indexes in China
continue to rise at an incredible pace. Once again, thank you to those
who sent an email reference my father. It is comforting to receive
email's from around the globe from people who are thinking of you
beyond your news blog content. Thank you. Stay safe out there and may
you have a safe and relaxing weekend.
Average price of LME traded cash nickel
so far this month
- $8.40/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper rises as investors shrug off recovery woes on upbeat earnings - more
Thursday's market review - Copper rises on weakening
dollar as risk appetite improves - Copper prices gained on Thursday,
buoyed by a softer dollar, dwindling inventories and a revived risk
appetite. - more
PACRO continues discussion of DOE site nickel - The Paducah Area
Community Reuse Organization agreed Wednesday to learn more about the
potential economic impact that could come from 10,000 tons of nickel
currently located at the U.S. Department of Energy’s Paducah site. - more
Nickel closed Wednesday's trading
session at $8.43/lb ($18,590/tonne). Indicators at 6:45 am CST today show
nickel trading around $.12/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Wednesday and ended that session just over the 219,500 tonne level.
Nickel bulls are making another charge this morning, hoping to break
above the $19,000/tonne level - and stay there. Market is buzzing this
morning with news Elon Musk has agreed to buy 'environmentally friendly'
nickel from BHP. Wasn't Musk part of the consortium that just took
over Goro in New Caledonia from Vale? Thank you to those who took a
moment to send an e-mail yesterday in regards to my father's fight with covid.
At 2:30 am this morning, he lost the fight. Stay safe out there.
Average price of LME traded cash nickel
so far this month
- $8.40/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper rises on weakening dollar as risk appetite improves - more
Wednesday's market review - Lead hits three-year peak
after German plant shuts, copper firm - Lead prices surged to a
three-year high on Wednesday after a major lead smelter in Germany
halted operations due to flooding. - more
Column: Stainless steel strength and supply hits reinforce nickel - A
strong pandemic recovery rally was rudely interrupted in March, when
China’s Tsingshan Group said it intended to produce battery-grade
nickel at its Indonesian operations. - more
Russia's Rusal sees 2021 sales down due to new tax - Rusal risks losses
on exports due to an export tax set to take effect from August to
December, the Russian aluminium producer’s deputy chief executive told
reporters. - more
Tesla strikes deal to buy the nickel it needs to make electric car
batteries directly from mining giant BHP - Tesla has struck a deal to
buy nickel directly from mining giant BHP. The contract will give the
electric car maker, run by controversial billionaire Elon Musk, a
guaranteed stream of the highly sought-after metal, which is used to
make electric batteries. - more
BHP to supply greener Australian nickel to Tesla - more
Citigroup optimistic about short-term nickel prices - According to
Citigroup’s forecast, the prosperity of commodities will last for two
more quarters. - more
Flood of Import Containers Disrupts U.S. Intermodal Rail - The
flood of import cargo arriving at the main U.S. gateway ports has
started to overwhelm the intermodal rail network, which carries a
substantial share of the import volume to inland markets in the
Midwest. - more
Nickel closed Tuesday's trading
session at $8.47/lb ($18,680/tonne). Indicators at 6:50 am CST today show
nickel trading around $.05/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell
slightly on Tuesday and started today's session just under the 220,100
tonne level. Nickel gained back Tuesday some of what it lost on Monday,
and has retreated again this morning, but bouncing off a week line of
support this morning. The International Nickel Study Group reported
that in the first five months of 2021, nickel stockpiles fell by about
the same amount that they rose in the first five months of 2020. And
India has backed off on threats to impose import duties on stainless
steel flat rolled products. I
have struggled on how to approach the covid
subject as it has resurfaced with a vengeance, and have tried to limit
comments to how it is affecting the business
cycle, as in the price drop of nickel, and equity markets, on Monday.
This is a news blog, not a bully pulpit. People are tired of the
subject, and based on some of our
e-mail's over the past year and a half, we have our share of readers
who
have doubts about the whole pandemic scare. I leave you today with
this. My
81 year old father, a retired purchasing agent, and active Baptist
minister, was one of those who had his doubts about the whole covid
subject, and refused to be vaccinated, although my mother chose to get
the shot. After
being
hospitalized in Springfield, Missouri, from the Delta variant since the
6th of this month, he was put on a
ventilator Monday, and his doctor told my mother his prognosis was
grim, due to his advanced age. While my father is in the hospital in
Springfield that is getting most of the national media attention, this
article from the other large hospital in town, gives an idea of what my
father, and the other covid patients, are experiencing
(article here).
Folks, 620,000 American soldiers reportedly died during the Civil War,
dwarfing
the American dead in other American wars, and until the Vietnam War, more than all the
others to that point combined. It took five years for that war and disease to kill
that many soldiers. In the last year
and a half, 625,000+ Americans have died from covid. Not soldiers, but
fathers, mothers, grandparents, and children, trying to live their life in peace. Like you are today. Please, if you won't get
the jab for yourself, consider doing it for those who care about you.
And no, I am not on vacation this week. Please - stay safe out there.
Average price of LME traded cash nickel
so far this month
- $8.40/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper steadies on modest China reserves sale, but dollar weighs - more
Tuesday's market review - Copper recoups some losses after
COVID-driven sell-off - Copper on Tuesday recouped some of its losses
from the previous session, when surging coronavirus infection rates
triggered a sell-off of assets like metals, equities and oil that
benefit from economic growth. - more
European stainless steel prices keep rising on tight supply - The
prices of cold-rolled stainless steel in the European market kept
rising in the past week due to the current tight supply situation. - more
Global nickel market deficit widens in May -INSG - The global nickel
market deficit widened to 21,300 tonnes in May compared a shortfall of
20,400 tonnes in April, data from the International Nickel Study Group
(INSG) showed this week. - more
Anti-dumping duty on flat rolled steel products from 15 countries
waived - India has decided not to impose anti-dumping duty on imports
of flat-rolled products of stainless steel from 15 countries including
China, Korea, European Union, Japan, USA, and Singapore, according to
an office memorandum of the department of revenue. - more
Opponents
say latest legal setback proves PolyMet is failed project - Opponents
say the latest legal setback for the proposed PolyMet copper-nickel
mine — the Court of Appeals ordering more review of the air permit —
shows it’s a failed proposal. - more
This Industrial Giant Expects Inflation to Be Sticky - Fastenal signals
that rising costs and labor shortages will continue to make the
reopening environment tricky to navigate. - more
Würth Group reports double-digit sales growth - more
Nickel closed Monday's trading
session at $8.37/lb ($18,460/tonne). Indicators at 6:50 am CST today show
nickel trading around $.03/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Monday and ended that session just over the 220,100 tonne level.
Surprisingly, cancelled warrants fell into the 23% range today. With
the constant drop in inventory numbers, one would assume if future
orders were keeping pace with current shipments, then cancelled
warrants would be climbing slightly. In fact they started the month in
the 26% range, and after 13 days of declines, and only one gain,
warrants numbers continue to fall. Yesterday the US government warned
US citizens
against traveling to the United Kingdom and some other countries due to
skyrocketing covid cases, coinciding with England's so called 'Freedom
Day'. Nearly all lockdown restrictions in that country were lifted
Monday, while cases spiked, the country recording more new covid cases
over the past few days than any other nation in the world. Markets
soured on the covid news, and many fell sharply yesterday, including
base metals. Nerves appear to be less rattled this morning, with some
enthusiasm back into trading numbers. Lots of news today. Koniambo, on
New Caledonia, the only nickel mine that seemingly wasn't making headlines weekly
because of problems with the locals - is now being reported as having
shut down two weeks ago, due to problems with the locals. Nornickel
reports it produced its first batch of carbon neutral nickel, while
Arcelor Mittal plans on building the world's first carbon neutral steel
plant in Spain. Updates are posting later this week. Stay safe out
there and have a great day!
Average price of LME traded cash nickel
so far this month
- $8.40/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Shanghai copper near 1-month low on virus worries - more
Monday's market review - Demand doubts and dollar dent
copper sentiment - Copper prices slipped to four-week lows on Monday as
sentiment was dominated by a stronger dollar and worries about demand
in top consumer China and plans to release copper and other industrial
metals from Chinese reserves. - more
Russian Mining Giant Nornickel Says Produced 1st Batch Of
Carbon-Neutral Nickel - Russia's Nornickel metals company
announced on Monday that it had produced its first batch of
carbon-neutral nickel, ready to be shipped to customers. - more
Specialty Metals Report Red Hot - As with other commodity metals, the
stainless steel segment is stressed as supply can’t keep up with
surging demand. - more
China steel futures rise on output curbs, supply crunch - Shanghai
steel rebar and hot-rolled coils futures rose on Monday amid concerns
of supply crunch as top steel producer China stepped up production
curbs, while utilisation rates of blast furnaces at key steel mills
remain relatively low. - more
New Caledonia's Koniambo plant still shut - An attempt by New
Caledonia's Koniambo nickel plant to resume operations has failed. The
site has been blockaded for nearly two weeks by a group claiming the
company's tendering process sidelines local businesses. - more
ArcelorMittal to build first big zero-carbon steel plant in Spain -
ArcelorMittal SA has signed a memorandum of understanding with the
Spanish government for a 1 billion euro ($1.2 billion) investment to
build the world’s first large-scale zero-carbon steel plant. - more
Supply chain concerns, higher steel prices seen increasing US PPA
prices - North American renewable energy power purchase agreement
prices continued to increase in the second quarter, LevelTen Energy
said July 19, citing solar power industry supply chain hiccups and
steel price increases pushing up wind power project costs. - more
Court orders MPCA to justify PolyMet permitting decision - The
Minnesota Court of Appeals has ordered the Minnesota Pollution Control
Agency (MPCA) to further explain its decision to grant an air quality
permit for the proposed PolyMet nonferrous mine. - more
Vale reviews copper, nickel guidance amid labour, climate issues -
Brazilian miner Vale said on Monday evening that it was reviewing its
guidance for 2021 nickel and copper output as strikes and
"extraordinary climate conditions" in Canada have materially affected
production. - more
BHP reports record iron-ore outputs - Major BHP has reported record
iron-ore production from its Western Australian operations, while the
Olympic Dam operation, in South Australia, also posted its highest
annual copper production since the mine was acquired in 2005, along
with its highest ever gold production. - more
How Distributors Can Use Content to Increase Web Sessions - MRO
distributor Quality Mill Supply was able to increase their web sessions
24x in only one year, driven by improved content on their e-commerce
site’s product detail pages. - more
Courtesy AISI - In the week ending on July 17, 2021, domestic raw steel
production was 1,859,000 net tons while the capability utilization rate
was 84.1 percent. Production was 1,350,000 net tons in the week ending
July 17, 2020 while the capability utilization then was 60.3 percent.
The current week production represents a 37.7 percent increase from the
same period in the previous year. - more
Nickel closed Friday's trading
session at $8.66/lb ($19,085/tonne). Indicators at 6:55 am CST today show
nickel trading around $.07/lb lower.
Stockpiles of nickel stored in LME licensed warehouses fell on
Friday and started this week just under the 221,900 tonne level. Nickel
closed above the $19,000/tonne level for the first time since February.
Putting aside one week in February where nickel jumped wildly, and fell
as quickly, nickel is looking very bullish. Nickel ended February
averaging $8.42lb and we are at $8.39/lb for July. With two full weeks
to trade left in this month, the price of traded nickel will have to
start declining soon for February's average not to be beat. China
continues to threaten commodity speculators, although beyond its
borders, its hands are tied. Markets are driven in part by speculation
and there were many wishing base metals were not publicly traded long
before China became such a huge player. India's JSW reported its second
quarter production was affected by the lack of oxygen due to the
pandemic in that country. The Delta variant is forcing everyone to
confront the fact that the pandemic is not gone, although thanks to
vaccination rates, the levels of death are much lower than they were.
This could add additional strain to an already stressed supply chain.
Our updates are being posted later this week. Stay safe out there and
have a great week!
Average price of LME traded cash nickel
so far this month
- $8.39/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Friday's market review - Tin hits record on supply
concerns, nickel jumps to 5-month high - Tin prices hit a record on
Friday due to supply concerns in major producer Myanmar, while lofty
stainless steel prices boosted nickel to its highest in five months. - more
Shanghai stainless steel hits record high on robust demand, raw
material shortage - Chinese stainless steel futures surged more than 5%
on Friday to an all-time high on strong consumption and raw material
supply crunch, while concerns over output cut in the steel sector also
supported prices. - more
High prices of iron-ore and pellets forcing small secondary steel units
to close shops - Unprecedentedly high prices of iron-ore and pellet are
compelling small secondary steel units in various states including West
Bengal to down shutters or curtail production. - more
China vows to curb commodities speculation to ensure price stability - "We
will coordinate with relevant departments to ensure the stability of
bulk commodities supplies and prices... guide upstream and downstream
players in the industrial chain to stabilise production, supply and
marketing of raw materials," ministry spokesperson Huang Libin told a
press conference on Friday, according to a transcript on the ministry's
website. - more
Vale Indonesia Q2 nickel matte production drops 19.5% y/y - PT Vale
Indonesia’s nickel in matte production in the second quarter stood at
15,048 tonnes, a company filing to the Indonesia Stock Exchange showed
on Monday. - more
JSW Steel production increases by 39% to 4.10 million tonnes in June
quarter - (excerpt) The capacity utilisation level of the company came
down to 91 per cent during the quarter under review, compared to 93 per
cent a year ago due to a shortage of oxygen supply, which was diverted
for medical purposes to combat the COVID-19 virus. - more
Container
shipping companies announce hefty trans-Pacific surcharges - Shipping
companies operating on trans-Pacific eastbound trade lanes have
announced rate increases for August at unprecedented increments, often
using new terminology to describe the surcharges affecting North
American importers. - more
Nickel closed Thursday's trading
session at $8.50/lb ($18,735/tonne). Indicators at 6:00 am CST today show
nickel trading around $.09/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Thursday and started today just over the 223,200 tonne level. Nickel
was trading at its highest since late February earlier this morning,
but we are back to March 1st levels at the moment. Traders are trying
to break out of a daily up and down pattern it appears stuck in, with
bulls taking the lead. In a follow up to yesterday's post, the
stainless steel index that had jumped to 84.80 yesterday, is reading
87.49 today, and you can see another big jump in the SHFE stainless
steel futures below. Stainless steel prices continue to climb. Your
author is on vacation next week, so the daily update time is
questionable. It is our intention to post an update, we just can not
guarantee it will come as early as it typically does. It's the end of
the week. We hope you stay safe and have a great weekend!
Average price of LME traded cash nickel
so far this month
- $8.37/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Nickel hits near 5-month high on strong demand, low supply - more
Thursday's market review - Copper boosted by hopes for
China stimulus as GDP disappoints - Copper prices rose on
Thursday as lower than expected growth from top consumer China stoked
hopes for more support for the world’s second-largest economy. - more
Global metals trading impetus shifting from east to west: Andy Home -
The remarkable one-year rally in base metal prices has been primarily
driven by China’s rapid COVID-19 recovery. - more
(excerpt) China pledged to limit crude steel output in 2021 at no
higher than the 1.065 billion tonnes it made last year but at the
half-way stage of the year, the country has already produced 563.33
million tonnes of the metal. - more
China's June crude steel output down 5.6% m/m on production curbs - more
Metal Shipments Continue to Increase but at Lower Rates - The dramatic
increase in steel and aluminum shipments continued for the fourth
straight month in the US and Canada in June but at roughly half the
explosive rates recorded in May. - more
May Steel Shipments Up 46.2 Percent From Prior Year - more
Germany: Plug-In Car Sales More Than Tripled In June 2021 - In June,
new passenger car registrations in Germany increased almost 25%
year-over-year to 274,152, but it's still far from over 325,000 two
years ago. - more
Indonesia records trade surplus of US$1.32 billion in June -
Indonesia’s balance of trade registered a surplus of US$1.32 billion in
June, 2021, with exports touching US$18.55 billion and imports valued
at US$17.32 billion, the Central Statistics Agency (BPS) reported. - more
Nickel closed Wednesday's trading
session at $8.43/lb ($18,600/tonne). Indicators at 6:00 am CST today show
nickel trading around $.02/lb higher. Stockpiles of nickel stored in LME licensed warehouses fell
sharply on Wednesday and started today just under the 223,900 tonne
level. Nickel has done little since Friday, rising one day, only to
fall the next. In the mean time, stainless steel indexes we follow in
China are all on the rise. One that we do not post daily started the
year at 67.84, started this week at 81.91, and hit 84.80 today. SHFE
stainless steel futures jumped from 17,850 yuan yesterday to 18,260
today. It would not appear that stainless steel prices will share in
the 40% drop that lumber has witnessed over the past few months - at
least not anytime soon. Some PPI charts below that you might find
useful. Fortunately, or unfortunately, buyers of stainless steel are
seeing price increases and inventory restrictions from across their
supply base, so they might suspect your next call is coming. This
situation has become a big test, and in many cases, a major black eye,
to 'Just-in-Time' supply systems. The old saying 'Lack of planning on
your part does not constitute an emergency on mine" has special meaning
these days - and would be especially applicable to our customers, if it
were not also so applicable to us as suppliers. Protests in two
countries bear watching right now. Cuba, with its nickel mine, and
South Africa, with its global supply of ferrochrome. Any extended
disruption from either country, could worsen the supply situation for
stainless steel producers, and their customers. It's Thursday and the
downhill slide is in effect. Stay safe out there and have a great day!
Average price of LME traded cash nickel
so far this month
- $8.36/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper rises as weaker China growth data fuels monetary easing hopes - more
Wednesday's market review - Copper slips on worries about
inflation, weak China demand - Copper prices lost ground in low volumes
on Wednesday on tepid demand in top metals consumer China and
uncertainty about rising inflation. - more
Global nickel & stainless steel outlook keeps improving - With the
continuous growing manufacturing and economic output, global demand for
metals kept increasing and the market of nickel and stainless steel
recyclers is improving. - more
USW Members Ratify New Contract with ATI - Members of the United
Steelworkers union (USW) today ratified a new four-year contract with
specialty steel maker Allegheny Technologies Inc., (ATI) that raises
wages, provides lump-sum payments and protects affordable, high-quality
health care for current and future workers. - more
Taiwan Yusco’s revenue to be driven by rising prices of stainless steel
raw materials - Yieh United Steel Corp. (Yusco), a leading stainless
steel mill in Taiwan, reported that its revenue was around NT$4.57
billion in June, sliding by 5.6% compared to the previous month while
during by 59.7% from the same month a year ago. - more
Metals recycling to be a key plank for cutting emissions - Consumer
awareness of carbon emissions from the production of metals for the
energy transition will eventually energise the recycling industry and
stimulate searches for substitutes that could spoil the party for
miners. - more
Nickel closed Tuesday's trading
session at $8.52/lb ($18,780/tonne). Indicators at 6:00 am CST today show
nickel trading around $.05/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Tuesday and ended that session just over the 225,300 tonne level. USW
workers at Allegheny ratified the agreement reached earlier this month.
That is good news for stainless steel supply in the U.S., but the
strike in Sudbury continues, which should keep the trading price of
nickel bullish. In more bad news for the industry however, ports at
South Africa have closed due to violence and looting there. While this
may not seem important to the industry on its face, South Africa
remains the main supplier of ferrochrome to the world and if these port
disruptions continue, the price of stainless steel could face even more
pressure. More below on this story, plus other news of interest
including US steel production at a 13 year high, new guidelines on the
Buy American Act, and a commentary titled 'What if steel prices don't
return to 'normal'. National news reports coffee prices are on the
rise, but wood prices, which were skyrocketing earlier this year, fell
40% as supply pressures eased and speculators took profits and bailed.
It's the middle of the week, and nearly the middle of the month, and a
few weeks past the middle of the year. Stay safe out there and have a
great day!
Average price of LME traded cash nickel
so far this month
- $8.35/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper eases as U.S. inflation data stokes policy tightening fears - more
Tuesday's market review - Copper slides after decline in
Chinese imports - Copper steadied on Tuesday but came under pressure
from falling imports by top consumer China and climbing inventories
raised worries about demand while a stronger dollar also weighed. - more
USW ratifies contract with ATI - Members of the United Steelworkers
union working at Allegheny Technologies Inc. ratified a proposed
contract that ends a strike at the Pittsburgh metals company that began
March 30, the USW reported late Tuesday. - more
Nickel prices driven to record high by China's cut of reserve
requirement ratio - China’s stainless steel prices have risen by 25%
since the end of April. The People's Bank of China (PBoC) announced to
cut the reserve requirement ratio (RRR) for banks, which has further
boosted copper and other industrial metals' prices. - more
US steel utilization rate at 13-year high - Production in the south
helped push US steel utilization rates to their highest levels since
2008. - more
Here is a rundown of the major steelmakers latest production and capacity investments announced this month. - more
Charging Infrastructure is the backbone of EV Revolution - Parul
Chabra explains how the transformation in road transportation brought
about by a shift towards E-mobility is causing pathbreaking changes
along the value chain. - more
Digging deeper: Trends in underground hard-rock mining for gold and base metals - more
What if steel prices don’t return to “normal”? - If you have been
keeping a close watch out for the inevitable fall in steel prices,
you’ve probably heard this phrase quite often in recent weeks: “Look
what happened in lumber.” - more
Federal guidelines set for those looking to bypass Buy American rules -
Key federal agencies responsible for adhering to Buy American laws are
now figuring out how to implement White House guidance issued in June. - more
Force Majeure Declared as Violence Disrupts South African Ports - The
South African logistics company Transnet that oversees the operations
of the country’s ports and terminals declared force majeure on July 12
announcing that it is suspending terminal operations in both the ports
of Durban and Richards Bay. - more
South African crowds rampage, hospital operations disrupted - more
Why Slowing Deep Sea Mining Benefits All Involved - Renewables were the
sole energy source to increase in demand in 2020 and through the
pandemic, the International Energy Agency (IEA) reported in May. - more
Australia Stainless Steel Development Association new articles
Nickel closed Monday's trading
session at $8.48/lb ($18,690/tonne). Indicators at 6:00 am CST today show
nickel trading around $.03/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Monday and ended that session just over the 226,200 tonne level. We are
in that mid-month, news drought period, where industry news is harder
to find. Did find an interesting article by the World Socialist web
site, that gives some interesting details of the USW - Allegheny
tentative agreement, including two planned plant closures. The
Socialists want the union members to reject the offer in today's vote -
that would be surprising. Stay safe out there and have a great day.
Average price of LME traded cash nickel
so far this month
- $8.33/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper supported by China trade data, inventories weigh - more
Monday's market review - China demand worries knock copper
market sentiment - Copper prices slipped on Monday on concerns about
demand prospects in top consumer China where economic recovery appeared
to be slowing, while rising inventories reinforced negative sentiment.
- more
Top U.S. Stainless Steel Maker Roiled by Supply Chain Woes - In another
sign of how supply chains are being snarled all over the world, a
leading U.S. maker of stainless steel was forced to declare force
majeure at its Kentucky mill because it can’t get enough of the
industrial gases it needs. - more
Russia considers measures to tap mining profits once export tax ends -
Russia is considering longer-term measures to grab a bigger slice of
mining companies’ profits once a temporary export tax finishes at the
end of this year, according to people familiar with the matter. - more
Russian stainless steel imports increase in May m-o-m, y-o-y -
According to statistics from the Russian Special Steel and Alloys
Consumers and Suppliers Association (USSA), in May, Russia's stainless
steel imports increased by 23.3% month on month and 22.9% year on year
to around 40,100 tons, and China once again became the main supplier,
accounting for 55.8% of the total. - more
[Title of article, no endorsement] Vote No to USW's sellout deal at
ATI! Form rank-and-file committees to end the isolation of the strike!
- The World Socialist Web Site calls on Allegheny Technologies (ATI)
workers to vote down the tentative agreement proposed by the United
Steelworkers union this Tuesday. - more
Nickel closed Friday's trading
session at $8.50/lb ($18,740/tonne). Indicators at 6:00 am CST today show
nickel trading around $.07/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Friday and started this week just under the 227,000 tonne level. Friday
was the fourth consecutive drop of over 1,200 tonnes, with stockpiles
numbers already down over 5,500 tonnes this month. The trading price of
nickel bounced sharply on Friday, with pricing hitting levels not seen
since early March. Across the board, metals are trading lower this
morning, so its hard to know if nickel is doing anything today besides
'following the pack'. Friday's bounce 'may' have been due in part to a
decision by China to loosen up its lending regulations, in a move seen
to stimulate growth there. As we all know, what happens in China,
matters when it comes to base metal trading, although the decisions
they seem to be making lately are merely reactionary. Here in the U.S.,
for those who have inventory, the good times continue. To
give you an idea of the 'difficulties' some
stainless steel sheet and plate distributors are having these days, we
received an email from a long time reader on Friday, titled "I
Have Never Seen This In My 42 Years". I do not have permission to
identify this Midwestern US reader, nor his employer, but suffice it to
say that the list
of supply challenges, primarily the severe lack thereof, he was seeing
on a daily basis, are simply incredible. This was exacerbated on
Thursday with news that a "major mill ran out of oxygen..." The 'have
stock' are in the driver's seat at the moment, with inventory worth,
and selling for, a
premium. It's a new week, and the unofficial three months of summer are
nearly half way over. Stay safe out there and have a great week!
Average price of LME traded cash nickel
so far this month
- $8.31/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - China demand worries knock copper market sentiment - more
Friday's market review - Nickel hits four-month high;
copper jumps on China move - Nickel prices hit their highest in four
months on Friday on firmer seasonal demand and renewed buying by
investors bullish on the metal’s prospects in a green economy. - more
Is steel price likely to be cut in July? - Steel prices are likely to
see a downward revision in July 2021, according to metal analysts.
Likelihood of global price cuts may impact the Indian prices as well. -
more
China iron ore futures post 4th week of losses on steel output control worries - more
China's stainless steel consumption has much room for development - The
per capita consumption of stainless steel in economic powers such as
the EU, South Korea, and Japan reached 32 kilograms in 2020, while
China had only 18 kilograms. - more
Nickel closed Thursday's trading
session at $8.33/lb ($18,355/tonne). Indicators at 6:50 am CST today show
nickel trading around $.16/lb
higher. Stockpiles of nickel stored in LME licensed warehouses took
another large hit on Thursday and ended that session just over the
228,600 tonne level. All base metals are trading higher at the moment,
but none stronger than nickel. Nickel punched through a major line of
technical resistance this morning, and is trading at its highest level
since March 1st. No real smoking gun out there for a reason, as this
appears to be more of a technical move, rather than one based on
fundamentals. On the fundamentals side, the amount of nickel leaving
LME warehouses is somewhat surprising, in light of the fact we are
supposedly in the 'slow period' for stainless steel production. Like
other supply and demand signals we used to find beneficial, the fact
the EV industry is quickly becoming a major player in nickel demand,
may effectively disguise any future slow periods in the stainless
industry. And as we stated earlier this week, we are not living in
typical times. Very few industries, stainless steel included, are
seeing a 'slow period' this year. With that we leave you with the news
of the day. Stay safe out there and have a great weekend!
Average price of LME traded cash nickel
so far this month
- $8.29/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Nickel hits four-month high; copper jumps on China move - more
Thursday's market review - Copper slips as Fed maintains
taper timeline - Copper prices dipped on Thursday after the U.S.
Federal Reserve confirmed plans to tighten monetary policy sooner than
expected. - more
Improving prospects for stainless steel and nickel markets - Outlook is
bright despite fears of inflationary pressures on raw materials. - more
Chart of the Day: Nickel production sufficient... until 2025 - The
nickel market is likely to be influenced in the future by two
variables, demand from the electric vehicle industry and the ramp-up of
production in Indonesia. - more
Nickel industry sees growth momentum continuing after issuance of
mining EO - The Philippine Nickel Industry Association (PNIA) said it
expects growth momentum for the industry to continue with the issuance
of an executive order lifting the freeze on new mining agreements. - more
Can China’s import of recycled steel take the heat off iron ore prices?
- As iron ore prices surge to never seen before highs, propelled by
recovering global steel demand, an increasingly popular narrative is
making its rounds in China on the potential of replacing, or
supplementing, the Fe element in steelmaking with recycled steel,
following China's lifting of import restrictions on ferrous scrap in
January 2021. - more
Deep sea mining carries unknown risks to sealife, scientists warn - The
prospect of mining the seafloor is prompting calls for more research
about its potential impact on the ocean and sea life. - more
Envy nickel trading boss alarmed some banks in Singapore long before
his arrest - The trader charged with orchestrating what police describe
as one of Singapore's biggest suspected investment frauds began setting
off alarm bells at banks more than a year before his arrest in
February, according to people familiar with the matter. - more
Nickel closed Wednesday's trading
session at $8.31/lb ($18,325/tonne). Indicators at 6:00 am CST today show
nickel trading around $.05/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell
sharply on Wednesday and ended that session just below the 230,000
tonne level. That is the lowest they have measured since April of last
year. The commodity board was a sea of green yesterday, and mostly red
today. For anyone interested, the Fed meeting minutes are posted under
Reports. This reminder that the Fed might raise interest rates sooner
than first thought, has reminded the rate dependent market their free
'high' may soon be ending. Another light news day. New Caledonia has a
new President and amongst other things, he is a current board member of
a nickel mine there. That could be good, and might be bad. On the good
side, he appears to be pro nickel and should be supportive of mining
efforts there. On the flip side, he is well versed in the industry, and
thus may look to Indonesia as an island model to follow. And as we are
witnessing in Russia, nickel exports can be used as a source of
additional revenue by governments. On a side note, Japan issued a
new covid state of emergency today, which in this day and age, isn't
really news beyond their borders, but aren't the Summer Olympics
scheduled to be held there in a few weeks? Stay safe out there and have
a great week!
Average price of LME traded cash nickel
so far this month
- $8.30/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - London copper dips on Fed minutes and dollar strength - more
Wednesday's market review - Copper rises as investors
await Fed minutes - Copper prices rose on Wednesday, recouping losses
from the previous session, as investors waited for the release of
minutes from the latest Federal Reserve meeting. - more
How Indonesia’s EV plans will shape its relations with the US and China
- The market for electric vehicles is projected to explode over the
next decade, making lithium-ion batteries an increasingly important
geostrategic resource - more
New Caledonia elects first pro-independence Kanak president - Louis
Mapou was elected this morning in Noumea after months of negotiations
between the two main pro-independence Kanak political groupings UNI and
UC FLNKS. - more
Pressure to decarbonize: Drivers of mine-side emissions - As
stakeholders pressure mining companies to reduce emissions, operations
must monitor their environmental impact and ultimately move toward
zero-carbon mining. - more
EC's initial carbon tax rules set to shift trends, raise steel, aluminum costs - more
Nickel closed Tuesday's trading
session at $8.16/lb ($17,995/tonne). Indicators at 6:00 am CST today show
nickel trading around $.13/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell on
Tuesday and ended that session just above the 231,300 tonne level.
Nickel closed below the $18,000/tonne level yesterday, for the first
time since June 22nd. It was by only $5 and is trading back above that
level this morning, but this morning's rally appears to be motivated by
an overall positive shift among traders, possibly driven by the Dollar
- as the entire commodity board is green at the moment. So will
yesterday's close spook the bulls into another rally effort, or will it
motivate the bears to short the market? We will have to wait and see
who wins this round. Not a lot of news out there. More on the tentative
agreement between Allegheny and the USW below and we learn that it will
take a few weeks to get people there back to work. Vale workers in
Sudbury have been out on strike a little over a month now, and there is
no news coming out of there. It's already hump day for this shortened
week. Stay safe out there and have a great day!
Average price of LME traded cash nickel
so far this month
- $8.29/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - London copper rises as dollar rally halts ahead of Fed minutes - more
Tuesday's market review - Copper slips from three-week
high as dollar strengthens - Copper prices pulled back from their
highest level in about three weeks on Tuesday after the dollar
rebounded and oil prices slipped. - more
Russia's stainless steel output drops in Jan-May y-o-y - According to
statistics from the Russian Federal State Statistics Service (Rosstat),
Russia's stainless steel output totaled around 83,000 tons in the first
five months of this year, sliding by 4.5% compared to the same period a
year ago. - more
Voting results on tentative labor pact between USW and ATI expected
next week - The United Steelworkers union representing striking workers
at nine Allegheny Technologies Inc. locations said Tuesday that it
expects to announce the results of a ratification vote on a proposed
contract on July 13. - more
Courtesy AISI - In the week ending on July 3, 2021, domestic raw steel
production was 1,842,000 net tons while the capability utilization rate
was 83.0 percent. Production was 1,306,000 net tons in the week ending
July 3, 2020 while the capability utilization then was 58.3 percent.
The current week production represents a 41.0 percent increase from the
same period in the previous year. - more
Singapore ups bail of alleged billion-dollar fraudster over escape
fears - A Singapore court has tightened bail conditions for a
businessman accused of involvement in a bogus, billion-dollar nickel
trading scheme after the prosecution said plans were afoot to help him
flee the country. - more
Nickel closed Friday's trading
session at $8.32/lb ($18,345/tonne) and Monday's session at $8.34/lb ($18,390/tonne). Indicators at 5:50 am CST today show
nickel trading around $.06/lb
higher. Stockpiles of nickel stored in LME licensed warehouses rose
sharply on Friday and fell slightly on Monday and started today just
over the 232,500 tonne level. Nickel is testing strong resistance
again, and making its 4th attempt since May 31st of punching through and
moving higher. While most of the world is tired of hearing
about covid, smart nickel traders and those in the stainless steel
industry, should keep one eye turned in that direction. Two of the
largest nickel producing countries in the world, Indonesia and Russia,
are experiencing surges in covid cases and are both seeing all time
record high daily death figures. Not only do these outbreaks threaten
those who work in the mines, but also those involved in getting the
nickel processed and/or moved to other destinations. Demand is setting
records - more supply disruptions can only add pressure to the trading
price. Typically, July starts a summer slowdown in stainless steel
production, but we doubt we will see that this year. Nickel traders
have started the second half of 2021 in a bullish mood, and stainless
steel producers are already having difficulties meeting demand. For
now, there is money to be made by those who have the inventory to sell.
Stay safe out there and have a great, albeit short, week.
Average price of LME traded cash nickel
so far this month
- $8.25/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper touches 3-week high on renewed worries about inflation - more
Friday's market review - Copper prices buoyed by
bargain hunters, U.S. data - Copper prices ticked higher on Friday as
some investors regarded the recent downturn as a buying opportunity and
after upbeat U.S. jobs data. - more
Monday's market review - Fundamentals shaky, but funds fuel copper's rise to 2-week peak - more
Steelworkers Reach Tentative Agreement with ATI to End Three Month
Unfair Labor Practice Strike - The United Steelworkers today said that
the union has reach tentative agreement with ATI on a
four-year contract covering 1,300 workers at nine facilities who have
been on strike against unfair labor practices since March 30, 2021. - more
Taiwan's 316 stainless steel price surges due to high molybdenum price
- Taiwan's stainless steel mills announced to raise their prices by
NT$2,000~8,000/ton for July, of which the surcharge of 316L increased
sharply by NT$5,000~8,000/ton. - more
Japan's Sumitomo Metal to invest $424 mln to boost battery materials
output - Japan's Sumitomo Metal Mining Co Ltd said on Tuesday it would
spend 47 billion yen ($424 million) to boost production capacity of
cathode materials for rechargeable batteries used in electric vehicles
(EVs) to meet burgeoning demand. - more
U.S. imports of Stainless steel, not less than 600mm wide increased
13.88 percent from $228.21 million to $259.88 million through the first
five months of 2021 when compared to the same period the previous year,
according to WorldCity analysis of the latest U.S. Census Bureau data.
- more
U.S. exports of Stainless steel, not less than
600mm wide increased 20.34 percent from $251.34 million to $302.46
million through the first five months of 2021 when compared to the same
period the previous year, according to WorldCity analysis of the latest
U.S. Census Bureau data. - more
U.S. imports of Misc. stainless steel bars,
rods increased 9.43 percent from $170.25 million to $186.31 million
through the first five months of 2021 when compared to the same period
the previous year, according to WorldCity analysis of the latest U.S.
Census Bureau data. - more
U.S. exports of Misc. stainless steel
bars, rods decreased 11.89 percent from $141.54 million to $124.71
million through the first five months of 2021 when compared to the same
period the previous year, according to WorldCity analysis of the latest
U.S. Census Bureau data. - more
‘Made in USA’ cheats to face fines as FTC steps up enforcement -
Companies inaccurately using “Made in USA” labels will be subject to
fines under a Federal Trade Commission rule that requires marketers
prove their products are “all or virtually all” made in the country. - more
FTC Complying with the Made in USA Standard - more
Nickel closed Thursday's trading
session at $8.21/lb ($18,100/tonne). Indicators at 6:10 am CST today show
nickel trading around $.02/lb
higher. Stockpiles of nickel stored in LME licensed warehouses fell
slightly on Thursday and ended that session just under the 231,400
tonne level. That is 231 not 331, as we printed yesterday, and a couple
of readers brought to our attention. We apologize for the fat finger.
Nickel is showing signs of running out of gas again, with strong
resistance holding. That is not to say the bulls won't make another
attempt, but we have been here about five times since mid April, and
all have ended in retreat. Your average raw material costs for June
2021, and how they compared to May, were as follows - Nickel - $8.14/lb
, Chromium - $4.00/lb , Molybdenum - $17.83/lb , and Iron - $1.04/lb . PMI Manufacturing Indexes have been updated (here)
and if you are seeking a different monitoring agency or country than
what we
follow, see the Global Economic Indicator Report under Reports.
Yesterday we started the second half of 2021, and we are now closer to
2022 than we are to 2020. Hopefully, during the first half of 2021,
your goals were met in the face of supply challenges and logistical
adversity. If not, life has handed you a clean slate and a fresh do
over. July 4th is a national holiday here in the U.S. - the day we
celebrate our Independence. Since it is on a Sunday, the business world
will close on Monday. So our next update will be on Tuesday. Stay safe
out there and have a great holiday weekend!
Average price of LME traded cash nickel
so far this month
- $8.20/lb
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper set for weekly decline as firmer dollar, weak China demand weigh - more
Thursday's market review - Chinese data weighs on copper;
fund buying supports - Copper came under pressure on Thursday as weak
manufacturing data from top consumer China and a stronger dollar
undermined sentiment, though fund buying offered some price support. - more
CRU - When will stainless prices fall from multi-year highs? - Global
stainless prices have exhibited strong upward momentum, especially in
Europe. - more
Shanghai steel futures extend gains to 7th day on output curbs -
Chinese steel futures rose for a seventh straight session on Thursday
on lingering concerns over supply prospects as the world’s top producer
of the construction and manufacturing material seeks to reduce output
this year. - more
China steel market expected to weaken in July amid rising inventories: Platts Analytics - more
AISI Releases Annual Statistical Report For 2020 - The
American Iron and Steel Institute (AISI) today announced the release of
its 2020 Annual Statistical Report (ASR), which provides comprehensive
data on the American steel industry and select data on the North
American steel industry as a whole. - more
US steelmakers hustling to meet roaring demand after pandemic-hit 2020: executives - more
Extreme Freight Rates Begin to Change Shippers' Calculations - The
containerized shipping industry has been essential to global commerce
for its low shipping costs. However, high freight rates are starting to
have an impact on consumer goods. - more
Republican Senators Urge Biden to End Trump-Initiated Trade War - more
Nickel closed Wednesday's trading
session at $8.26/lb ($18,220/tonne). Indicators at 5:500 am CST today show
nickel trading around $.07/lb
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Wednesday and ended June just under the 221,500 tonne level. That's an
over 14,500 tonne drop in stockpiles last month, and nearly 16,500
tonne drop for the year. Slower news day although its all industry
relevant. Stay safe out there and enjoy the downhill slide.
Average price of LME traded cash nickel
so far this month
- $8.14/lb (average June)
LME nickel chart - here
/ Euro/US Dollar chart - here
Reports
Reuters metals morning - Copper dips on slowing China factory activity - more
Wednesday's market review - Copper on track for biggest
monthly decline since March 2020 - Copper on Wednesday was on track for
its biggest monthly fall since March 2020 as a stronger dollar, the
threat of tighter U.S. monetary policy and moves by China to keep a lid
on prices pulled the metal from record highs. - more
Taiwan’s Tang Eng raises stainless steel prices for July, same increase
as Yusco - Tang Eng Iron Works Co., Ltd., one of the main stainless
steel manufacturers in Taiwan, announced to raise its new stainless
steel prices for July today (June 30), the same as the price increase
of Yieh United Steel Corp. (Yusco), another main stainless steel
producer in Taiwan. - more
EU stainless buyers scrambling to secure tonnages for 2022 - European
coil and sheet transaction values continued to rise in June. Further
increases are already on the horizon for July. Few market participants
see any imminent downward correction in prices. - more
Colombia first-quarter coal output down 28% on year, gold production up
23% - Colombia's coal production fell 28% in the first quarter of 2021
versus the year-earlier period, the national mining agency (ANM) said
on Wednesday, due to changing coal prices and the effects of the
coronavirus pandemic. - more
Phase Composition of Austenitic Stainless Steels in Additive
Manufacturing: A Review - Additive manufacturing (AM) is among the
novel industrial technologies for fast prototyping of complex parts
made from different constructional and functional materials. - more
(all
ton listings are metric tons = 2204.622 pounds ) Updated Monday thru
Thursday before 7 am CST, Friday version before 8 am CST - DisclaimerOriginal content and opinions copyright
www.estainlesssteel.com. All prices shown on
this page are indications only. Please note - for real time and
official LME
prices, LME requires a user subscribe to an authorized LME vendor.
Daily Nickel/Stainless Steel Briefing 
($19,860/tonne). Indicators at 7:05 am CST today show
nickel trading around $.01/lb 
lower. Stockpiles of nickel stored in LME licensed warehouses fell on
Thursday and started today just over the 214,600 tonne level. Nickel
came within $50/tonne of the $20,000 level during trading yesterday,
and ended the day with another gainer. This morning, after SMM markets
fell slightly overnight, nickel bulls appear to be in a wait and see
attitude. US equity stock futures are lower, so they may be waiting to
see what kind of mood U.S. trading houses are in. Indonesia scored
another battery factory. That sodium ion battery that China announced
yesterday does not use nickel. Russia is considering pegging their new
mineral export tax to the global price, while Vale and Glencore
reported earnings. Talon Metals has announced it has teamed up with the
USW in Minnesota to push for the approval of its Tamarack project. If,
and that is a big if, they ever open this mine, we wonder how long this
love affair between the mine and the union will actually last. A month?
A week? 1 day maybe? Oh well. It's Friday. Stay safe out there and
enjoy your weekend.
Reports
Why Stainless Steel 
Thursday's market review - Copper rises as Fed spreads
bullish mood through markets - Copper prices rose on Thursday after
signals from the U.S. Federal Reserve that it was in no rush to tighten
and efforts by China to calm fears of new regulation spread a bullish
mood through markets. - 
Hyundai Motor, LG's battery unit to invest $1 bln in EV partnership -
South Korea's Hyundai Motor Group and LG Energy Solution said on
Thursday they would set up a joint venture (JV) in Indonesia to
establish a battery cell plant for electric vehicles (EV), investing
$1.1 billion with each owning half the business. - 
Brazil's Vale revises down year-end iron ore output - Vale SA flagged
potential production setbacks on Thursday amid temporary issues at
multiple iron ore mines, but executives said the Brazilian miner was
still on track to ramp up output in the second half of the year. - 
Russia mulls pegging tax on mining firms to global metals prices -
Interfax - Russia is considering pegging a mineral extraction tax (MET)
levied on its metals producers to the global price of their products
from 2022, the Interfax news agency reported on Friday, citing Deputy
Finance Minister Alexei Sazanov. - 
Talon Metals partners with Steelworkers union to advance Tamarack nickel project
Trivia - Is stainless steel ferrous - or non ferrous? - "The simple
answer is that ferrous metals contain iron and non-ferrous metals do
not." - 
China’s nickel sulphate prices hit new high - China's domestic nickel
sulphate prices rose to a new high on 27 July, with import prices also
surging amid burgeoning demand from the new energy vehicle (NEV) and
battery sectors and tight local supply. - 
POSCO to Build Nickel Plant in Gwangyang by 2023 - POSCO announced on
July 28 that it will invest 230 billion won to build a nickel factory
in Gwangyang by 2023. - 
Mining giant BHP offers to buy Canada's Noront Resources for $258 mln -
BHP Group has made a C$325 million ($258.45 million) approach for
Noront Resources, rivaling an offer from Australian mining billionaire
Andrew Forrest's Wyloo Metals for the Canadian nickel-copper miner. - 
Booming stainless steel output to sustain nickel prices for months -
Healthy demand from stainless steel mills and electric vehicle battery
makers is expected to underpin nickel prices over coming months, but
rising supplies from top producer Indonesia are likely to weigh next
year. - 
Taiwan’s Yusco & Tang Eng expected to raise stainless steel prices for Aug - Yieh
United Steel Corp. (Yusco) and Tang Eng Iron Works Co., Ltd., two
leading stainless steel upstream suppliers in Taiwan, will announce
their new prices of stainless steel for August this week. -
June 2021 crude steel production - World crude steel production for the
64 countries reporting to the World Steel Association (worldsteel) was
167.9 million tonnes (Mt) in June 2021, an 11.6% increase compared to
June 2020. - 
Tesla strikes deal to buy the nickel it needs to make electric car
batteries directly from mining giant BHP - Tesla has struck a deal to
buy nickel directly from mining giant BHP. The contract will give the
electric car maker, run by controversial billionaire Elon Musk, a
guaranteed stream of the highly sought-after metal, which is used to
make electric batteries. -
European stainless steel prices keep rising on tight supply - The
prices of cold-rolled stainless steel in the European market kept
rising in the past week due to the current tight supply situation. - 
Anti-dumping duty on flat rolled steel products from 15 countries
waived - India has decided not to impose anti-dumping duty on imports
of flat-rolled products of stainless steel from 15 countries including
China, Korea, European Union, Japan, USA, and Singapore, according to
an office memorandum of the department of revenue. -
This Industrial Giant Expects Inflation to Be Sticky - Fastenal signals
that rising costs and labor shortages will continue to make the
reopening environment tricky to navigate. - 
ArcelorMittal to build first big zero-carbon steel plant in Spain -
ArcelorMittal SA has signed a memorandum of understanding with the
Spanish government for a 1 billion euro ($1.2 billion) investment to
build the world’s first large-scale zero-carbon steel plant. - 
Vale Indonesia Q2 nickel matte production drops 19.5% y/y - PT Vale
Indonesia’s nickel in matte production in the second quarter stood at
15,048 tonnes, a company filing to the Indonesia Stock Exchange showed
on Monday. - 
Global nickel & stainless steel outlook keeps improving - With the
continuous growing manufacturing and economic output, global demand for
metals kept increasing and the market of nickel and stainless steel
recyclers is improving. - 
Force Majeure Declared as Violence Disrupts South African Ports - The
South African logistics company Transnet that oversees the operations
of the country’s ports and terminals declared force majeure on July 12
announcing that it is suspending terminal operations in both the ports
of Durban and Richards Bay. - 
Envy nickel trading boss alarmed some banks in Singapore long before
his arrest - The trader charged with orchestrating what police describe
as one of Singapore's biggest suspected investment frauds began setting
off alarm bells at banks more than a year before his arrest in
February, according to people familiar with the matter. - 
Japan's Sumitomo Metal to invest $424 mln to boost battery materials
output - Japan's Sumitomo Metal Mining Co Ltd said on Tuesday it would
spend 47 billion yen ($424 million) to boost production capacity of
cathode materials for rechargeable batteries used in electric vehicles
(EVs) to meet burgeoning demand. - 
Colombia first-quarter coal output down 28% on year, gold production up
23% - Colombia's coal production fell 28% in the first quarter of 2021
versus the year-earlier period, the national mining agency (ANM) said
on Wednesday, due to changing coal prices and the effects of the
coronavirus pandemic. - 
Phase Composition of Austenitic Stainless Steels in Additive
Manufacturing: A Review - Additive manufacturing (AM) is among the
novel industrial technologies for fast prototyping of complex parts
made from different constructional and functional materials. - 
