Jan 13 Almost exactly three years ago Indonesia rocked the global nickel market by banning the export of unprocessed minerals. At the stroke of a presidential pen the flow of nickel ore feeding China’s massive stainless steel sector was cut off.
Now Indonesia has done it again, this time by part reversing that ban. The London Metal Exchange nickel price initially slumped 5 percent on the news to a four-month low of $9,660 per tonne before recovering to $10,275 at the Thursday close.
The tremors have spread to the equities market with the shares of Australia’s nickel producers and Indonesia’s own PT Vale Indonesia experiencing similar turbulence. Continue Reading →