LME Nickel Price, page-164

No doubt metal exchanges and virtual markets are madness. They are conceived with the gambler in mind and hardly ever reflect the true value or price, this on the upside and on the downside.
I mean look at oil going below zero most recently 2020, i think the logic was that to store a barrel of oil would have cost more than its value, or something like that...
In the end no trades happens when prices reach these extremes and the market stop function, this is why LME had to intervene. Going forward though it seems their intention is "again" to get rid of limits, this for me is a big mistake and in time LME will lose its credibility as place to go to buy commodities. Also given current geopolitical events, is likely that commodities trade will become more and more bi-lateral agreement at the price and currency chosen at the time of the exchange/transaction. As commodities and capitals are becoming a tool for politics and power and thank also to sanctions and tariffs, this is becoming inevitable imv.
With 12% limit is likely that next week Ni on LME will find support with some buy trades, the fundamentals are unchanged mid/long terms and i read that inventories for steel makers are very low...
There is the variable of Russia and sanctions, is likely that Russian nickel will enter the market at cheaper price, but imv it should not affect directly Nickel Mines. Russia produce mostly Ni for battery use, we produce Ni for steel making, also with our partner Xiang Guangda TD, been a Chinese national there should be some sort of guarantee/protection in trading. Also politically China doesn't want to be seen by the West, to help too much Russia with sanction imposed. What Chine needs is energy but for the rest they are very capable to source it them selves...
I see also Indonesian NPI price is coming down to pre-short squeeze levels at $24000/t, for mid/long term this would be fantastic for Nic. increasing production and higher prices, for a company very well managed and a partner the size of TD, share price of AU$ 3 by end of the year is just the beginning.