nickel shortage means high prices/article, page-5

Subject re: nickel shortage means high prices/article
Posted 09/12/04 23:10 - 5 reads
Posted by brucey
Post #451554 - in reply to msg. #448320 - splitview

There's been talk for a while now about nickel shortage but won't help the price.
Shortage of copper stockpiles hasn't helped that price either lately, and have a look at oil, not long ago,the so called experts were predicting oil well over $60 US a b.
due to a world shortage.
I don't think there's a shortage of any of these commodities,otherwise the prices would be a lot higher.
A lot of manipulation goes on.

**********
Hi Brucey,

There is a shortage of many commodities, Nickel included.

What we are seeing now is a pullback in many commodity prices.

Pullbacks are healthy & infact an essential component of any Long term Bull run.

Manipulation does happen with commodity prices the same as they do with shares but, inventories also get manipulated to keep commodity prices down.

Nickel inventories while rising lately on the LME have actually been falling elsewhere in the world.

Companies & Governments of the world holding Nickel have been offloading all year to take advantage of current high prices.

They can only offload these stocks once.

The majority have already destocked as reported & the LME inventories will once again start depleting SOON.


The 1 year LME Nickel Inventory chart,

http://www.kitcometals.com/charts/nickel_historical_large.html#lmestocks_1year

shows how LME Nickel stocks fell over 20,000 tonnes in less than 2 months.

Nickel prices at the time traded between $6us/lb & $8us/lb.

Currently Nickel is trading at $5.69us/lb & stocks sit at 18,318 tonnes.

Nickel is well poised to benifit from the China inspired resources boom.

Cheers.