SMM

Overnight, the most-traded SHFE nickel contract opened at 132,000 yuan/mt, and closed at 131,200 yuan/mt, up 130 yuan/mt. Trading volume reduced 8,357 lots, and open interest decreased by 3,152 lots. On the macro level, the Red Sea route has no impact on refined nickel transportation so far. On fundamentals, affected by price reduction of nickel sulphate and other raw materials as well as stabilising SHFE nickel price, some refined nickel enterprises have started to make profits and thus resumed production. In summary, it is expected that December will see a month-on-month increase of refined nickel output.