Nickel futures dropped to lowest price since March in London in the midst of persistent concern demand growth can stagnate in China, the biggest consumer of industrial metals, and European with the economies weaken.
Chinese economic growth will slow to 7.2 percent this quarter, Song Guoqing, a faculty member of the People's Bank of China monetary policy advisory board, said on October 25. Business confidence in Germany, the biggest economy in the eurozone, fell for the sixth month, the business climate index Ifo institute showed today.
Nickel futures delivery in three months fell 1.7 percent to $14.759 a tonne on the London Metal Exchange, afterwards in early touching $ 14,733, the lowest since March 4. Nickel stocks were monitored by the LME rose from 90 tons to a record 378,222 tonnes, daily data showed.
On the domestic front, MCX Nickel futures prices declined 0.80% today as speculators cut their exposures amid a weak tendency overseas. At the Multi Commodity Exchange, futures prices of nickel for delivery in October fell by Rs 7.20, or 0.80%, to Rs 906.10 per kg.
The metal had crept 4.4% last week and dropped for the seventh consecutive week, the longest streak of weekly losses since 2001.
German orderbook fell 5.2 percent over the prior year, in August, data from the Federal Statistical Office showed last week. Nickel is used mostly to make stainless steel, which has applications in building including fixtures and door liner, according to BSSA.
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