The London Metal Exchange (LME) nickel futures rebounded yesterday (June 5), closing at US$15,523/ton, up by US$128, with spot prices also rising by US$135 to US$15,341/ton. This rebound was influenced by a call between the US and China presidents, a weaker US dollar, the European Central Bank's (ECB) eighth rate cut this year, and a decrease in LME nickel inventories.

The nickel price has risen by US$286 or 1.9% this month and US$195 or 1.27% so far this year. LME-monitored inventories decreased by 900 tons yesterday to 200,724 tons.

However, the continued weak demand from the stainless steel market indicates short-term price volatility despite these supportive factors.