Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Nickel Jumps Most in Three Month on Indonesia Outlook

Jan. 10 (Bloomberg) -- Nickel prices surged the most in three months in London on a report that Indonesia, the world’s biggest producer of the metal from mines, detained Chinese ships as a ban on ore exports approaches.

Indonesia prevented at least 10 Chinese ships from leaving port, the 21st Century Business Herald newspaper reported. The Southeast Asian country is scheduled to bar shipments of unprocessed ores after Jan. 12 to bolster local processing. The move comes amid signs of stronger demand in China, the biggest consumer.

“The shipping issue is part of the equation,” Michael Turek, a senior director at Newedge USA LLC in New York, said in an e-mail. “Chinese imports of industrial raw materials are rising.”

Nickel for delivery in three months climbed 3.8 percent to settle at $13,860 a metric ton at 5:50 p.m. local time on the London Metal Exchange, the biggest gain since Oct. 4.

Indonesian ore accounts for at least 60 percent of nickel sold into China, and the export ban “has the potential to be a big market-mover,” David Wilson, director of metals research and strategy at Citigroup Inc. in London, told Bloomberg Brief.

Copper for delivery in three months gained 1.2 percent to $7,302.50 a ton ($3.31 a pound). In New York, futures for March delivery rose 1.3 percent to $3.3415 a pound on the Comex.

Imports of copper by China in December rose 29 percent to 441,291 tons from a year earlier, government data showed today. Stockpiles tracked by the LME declined for the 47th straight session, the longest slump since 2004, to 343,875 tons, the lowest in 12 months.

Inventories may continue to shrink in the first quarter, said David Lilley, co-founder of Red Kite Group, whose metals fund returned more than 50 percent last year.

The outlook for the metal has turned positive amid prospects for global economies to strengthen, he said yesterday in a telephone interview from London.

Aluminum, zinc, lead and tin rose today on the LME.

To contact the reporters on this story: Agnieszka Troszkiewicz in London at atroszkiewic@bloomberg.net; Luzi Ann Javier in New York at ljavier@bloomberg.net

To contact the editor responsible for this story: Millie Munshi at mmunshi@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.