Indonesian Export Ban Could Push Nickel Over 20 Percent Higher

Reuters reported that Indonesia’s potential nickel export ban could push prices for the metal up by over 20 percent, according to analysts. It would not, however, be good for nickel pig iron.

As quoted in the market news:

‘It’s such an important swing factor for the market that you could see a decent rally in the nickel market if a ban is strictly enforced – at least 20 or 30 percent,’ said Daniel Smith, head of metals research at Standard Chartered.

‘It goes without saying that it’s pretty crucial for the Chinese nickel pig iron sector.’

‘If the ban really happens, I see no alternative but large swathes of the nickel pig iron industry (in China) having to close,’ said Stephen Briggs, strategist at BNP Paribas.

Click here to read the full Reuters report.