The London Metal Exchange (LME) nickel futures continued to climb last Friday (December 5), rising above US$14,900 as a softer US dollar and renewed expectations of Fed rate cuts provided support. 

Despite persistent market oversupply and high inventories, the nickel price still increased, marking a second straight weekly gain and a four-week high.

So far in December, the average nickel price is US$14,692, slightly above November’s monthly average of US$14,670.

The current inventory levels remain high, thereby limiting price increases. Market participants expect nickel prices to fluctuate slightly in the short term.