The London Metal Exchange (LME) nickel futures rebounded strongly yesterday (February 19), closing at US$15,404, up by US$55, while spot prices also rose by US$54 to reach US$15,184.

Since the beginning of February, nickel prices have risen a total of US$194, an increase of 1.27%, and year-to-date prices have hiked by US$76, or 0.49%.

Despite a stronger US dollar and rising LME nickel inventories, which reached 190,452 tons as of the 19th, disruptions in nickel ore supply from the Philippines have pushed both nickel ore and nickel prices higher, and the strengthening stainless steel market in China has further boosted nickel prices.

Market participants predicted that recovering stainless steel demand and supply uncertainties would provide support for nickel prices, while the short-term price trend remains to be seen.