Nickel falls from 19-month peak as metals rally pauses
Nickel prices slipped from a 19-month high as the recent rally in base metals took a temporary pause.
Three-month nickel futures fell following a sharp intraday surge of up to 10.5% on Tuesday, which had pushed prices near $18,800 per ton, News.Az reports, citing Bloomberg.
That spike marked the biggest single-day jump since late 2022, driven by concerns over output from Indonesia, the world’s top nickel supplier, and a surge of investment in China’s domestic metals markets.
Indonesia has announced plans to reduce nickel production this year to better align supply with demand. The country also intends to impose steep fines on miners violating forestry permits, which could force some companies out of business and disrupt production.
Traders in Asia reported unusually strong buying activity for nickel pig iron from China, as companies stock up ahead of the Lunar New Year, though they requested anonymity due to the private nature of the information.
Base metals have enjoyed a strong start to 2026. The LMEX Index, tracking six major metals in London, surged to its highest point since 2022. Alongside nickel, copper reached a record earlier this week amid concerns over potential U.S. import tariffs, while aluminum climbed to its highest level since April 2022.
Nickel — which is used in stainless steel and batteries — was 0.8% lower at $18,370 a ton on the London Metal Exchange at 1:55 p.m. in Shanghai. Copper, aluminum, zinc and lead also declined.
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