Nickel Leading Industrial Metals Rebound

Bloomberg reported that lower nickel prices are attracting investors, and as a result the metal is leading an industrial metals rebound. William Adams of Fastmarkets.com told the publication that the market looks “a bit oversold” and he would not be surprised to see some bargain hunting.

As quoted in the market news:

Nickel prices closed at the lowest level since May 2009 yesterday, falling 17 percent this quarter. The metal is heading for a third weekly drop, dinting its 14-day relative strength index close to the level that indicates a potential impending rebound to some analysts who study technical charts. The LME Index of six primary metals touched 2,911 on June 24, the lowest level since June 2010.

Nickel for delivery in three months rose 1.5 percent to $13,815 a metric ton by 11:14 a.m. on the London Metal Exchange. Copper rose 0.4 percent to $6,760.25 a ton. The metal is down 7.5 percent this month and 10 percent lower this quarter. Copper for delivery in September advanced 0.6 percent at $3.0595 a pound on the Comex in New York.

Click here to read the full Bloomberg report.