Manganese has been substituted for Nickel all throughout 2004. Thats why Nickel only trades around $6.50us/lb.
200 series Stainless steel(low nickel) has been in production now for a long time.
The chinese government is on the verge of banning it(they do not want the stigma of being a producer of inferior goods).
It's all old news, rehashed by people who know very little about the subject.
Yes some very intelligeny Analysts out of the U.S.A are saying Nickel prices will fall because Wal-Mart will be selling low nickel stainless steel microwaves, but..
The smarter people know that increased Nickel prices had more to do with China, India & world growth & less to do with stainless steel shovels or fridges bought from Wal-Mart.
Consumption of Nickel was up 36% in the U.S.A last year when concerned with speciality tools like needed in Factory building.
Get a grip & check recent history.
I followed closely what was said when Nickel hit under $5us/lb last year in May 2004.
Umm, NO the chinese economy has not collapsed(surprise,surprise) & the chinese are the main drivers of ALL commodity prices.
The analyst is saying Nickel will fall because, because is just a "Johnny come lately" as far as I am concerned.
Oh my god!!! You you should have read some of the crap written by Analyists being wrtten late April 2004 & early May 2005.
Umm, Yep & what has happened since then???????Why do I still hold most of my portfolio in Nickel??????Because I knew then as now that we are involved in something beyond what the average person can understand.
Nickel equals posedian, bom bust, boom bust. Umm JBM hits all time highs today(from broker support) why?????
BECAUSE THEY ARE CHEAP AS CHIPS!!!!!!!!!!!
One Analyst I agree with says Nickel will average $7.50us/lb in 2005.
To average that Nickel needs to reach ~$10us/lb some time in 2005.
T me as a longer term follower of Nickel I held through sub $5us/lb & I will continue to hold & buy(as i did today) because I get my facts from many sources.
Does anybody see what is happenning with Stainless steel producers????
Record profits??? Can't meet demand?????????
Yes this is what stainless steel producers suffer from.
Nickel prices are not stopping stainless steel producers making more money than ever before.
& yes , Nickel prices will fall... Why so stainless steel producers can double record profits???
