seasonal prices are down

This is traditionally the time of year for firm nickel prices as the world's biggest producer, Norilsk, waits for the ice melt to clear the river mouth and allow metal shipments.

Certainly not happening at the moment, a strong stockpile, the lowest nickel price in zonks, and interestingly, the Chinese puting a cap on steel production.

The Chinese recently upped port charges for iron ore in warehouses and the major steel producers such as Bao are suggesting a 30% reduction in steel output over coming months. (The analysts suggest this may be part related to reducing smelter emmissions for the Olympics- a good a reason as any.)

In the meantime they have gone back to buying B grade Indian steel , (low in nickel), to assist with demand.

Could be a tough few months for the nickel producers?

Cheers,TAS