April nickel prices rallied on weaker USD, tight overseas supply, domestic sentiment & inventory divergence. SHFE Ni (+5.66%) outperformed LME Ni (+5.29%), both inverse to DXY (-1.12%).
4 Key Drivers
Softer USD Eases Pressure: Fed rate-cut bets pulled DXY down, lowering dollar-commodity holding costs and supporting upside.
LME Ni: Tight Fundamentals Lead: Indonesia HPAL cuts (sulfur crisis) +NPI quota tightening constrained supply; stainless steel & battery demand rebounded, driving a breakout.
SHFE Ni: Premiums & Sentiment Boost: LME rally spillover, domesticrestocking, pro-growth policies & strong manufacturing PMI amplified gains.
Inventory Divergence Widens Gap: LME stocks fell (high but drawingdown); SHFE stocks rose but spot liquidity stayed tight, lifting domestic prices.
