Nickel futures surge over 2 per cent on global cues, spot demand

NEW DELHI: Continuing its upward move, nickel prices surged over 2 per cent to Rs 1,144.30 per kg in the futures market today as speculators engaged in enlarging positions after the metal climbed to 19-month high at the London Metal Exchange.

Besides, increased demand in spot markets from domestic alloy-makers, influenced nickel prices.

At the Multi Commodity Exchange, nickel for delivery in May gained Rs 22.70, or 2.02 per cent, to Rs 1,144.30 per kg in a business turnover of 3,380 lots.

The metal for delivery in June month contracts shot up by Rs 22.40, or 1.99 per cent, to trade at Rs 1,149.80 per kg in 142 lots.

Markets analysts said apart from increased domestic demand from alloy-makers, firmness in metal where it touched a 19-month high at the London Metal Exchange (LME) on concern that Indonesia's ore export ban is reducing globally supplies and as China's exports and importers unexpectedly rose in April, supported the upside.

Globally, nickel for delivery in three months at the LME added as much as 1.1 per cent to USD 18,849 per tonne, the highest level since October 2012.