Nickel Declines in London on Prospects for Increased Supplies

Nickel fell in London for the first time in three sessions on signs that the highest inventories since 2010 will leave ample supplies, as mining projects boost production of the metal used to make stainless steel.

Stockpiles monitored by the London Metal Exchange have climbed 7.8 percent this year, signaling demand is lagging behind output. Inventories reached 150,906 metric tons yesterday, the highest since April 2010. Rising demand from China, which produces about 44 percent of the world’s stainless steel, won’t be enough to lift prices, Commerzbank AG said.