Nickel and tin will trade higher than previously expected this year and copper supply will fall short of demand as early as next year, Standard Bank said.
Nickel will average $21,310 a metric ton this year, from a previous estimate of $20,225, Leon Westgate, an analyst at the bank in London, said in a report dated yesterday. Tin will average $18,875 in 2010, from an earlier forecast of $17,300. The 2011 estimate increased by $3,000 to $23,200.
Copper supply will outpace demand by 153,000 tons in 2010, compared with a previous expectation of 244,000 tons, Westgate said. The market will flip into a 194,000-ton shortage next year and about 500,000 tons in 2012, he said.