News summary

Precious metals futures rose significantly on May 17blueskybingo, the main Shanghai nickel contract exceeded 150000 yuan/ton, affected by supply disturbances and expectations of interest rate cuts. Federal Reserve Governor Bowman emphasized the importance of cooling inflation and slowing labor market rebalancing. The riots in New Caledonia have triggered market concerns about nickel supply. The approval progress of Indonesian nickel mines has been slow, and nickel prices have fluctuated at high levels in the short term and may fall back in the medium to long term.

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Precious metals market recovers gold and silver futures prices rise significantly

On May 17, the precious metals market ushered in a rebound in prices, and the main contract for COMEX gold futures climbed 1.5%.blueskybingo.34% to US$2,417.40/ounce, and the main COMEX silver futures contract also recorded a 4.63% increase at US$31.259/ounce. At the same time, in terms of internal trading, the main 2408 contract of Shanghai Bank rose 6.02% at night to close at 8061 yuan/kg.

The Fed's policy stance may remain

Federal Reserve Governor Bowman said he would support raising interest rates if necessary to deal with inflation, which is expected to continue to cool when the Federal Reserve's policy rate remains high. In addition, she mentioned that the rebalancing process of the U.S. labor market has slowed down.

Shanghai nickel's main contract rose sharply to a new high in nearly eight months

Affected by market sentiment, the main Shanghai nickel contract rose sharply on May 17, breaking through 150000 yuan/ton intraday, setting a high in nearly eight months.

Market sentiment and balance of supply and demand provide support for the rise in nickel prices

The recent rise in nickel prices is mainly due to the impact of market sentiment and the balance of supply and demand. Supply-side disturbances, such as supply issues in New Caledonia and the approval progress of RKAB in Indonesia, have increased market concerns about the supply of nickel resources.

Supply side concerns and demand side changes have an impact on nickel prices

Although nickel prices may respond to macro sentiments and supply-side disturbances in the short term, the long-term oversupply pattern may put nickel prices under certain pressure. Stainless steel production increased, while ternary materials production decreased. Changes in demand also had a certain impact on nickel prices.

Nickel prices fluctuate in the short term or high levels and the medium-and long-term trend requires attention to changes in supply and demand

Currently, the market remains concerned about the signing results of Indonesia's RKAB, and nickel prices may continue to fluctuate at high levels in the short term. In the medium and long term, the pattern of oversupply and changes in market demand will have an important impact on nickel prices.