Unrest in New Caledonia to push nickel and stainless steel prices further up?

Unrest in New Caledonia caused a surge in LME nickel quotes. Stainless steel makers will use that to raise their prices, but the direct impact on raw material supply seems to be marginal.

On Friday, May 17, LME nickel prices skyrocketed by 7.2% to USD 21,005/t, or up 11% over the week. This sudden surge was mainly triggered by speculative news that raised concerns about a possible supply disruption in New Caledonia. The unrest began when the French government announced a plan to change voting rules in its overseas territories, leading to protests among pro-independence groups and resulting in fatalities. By the end of last week, France had deployed 2,700 security personnel to quell the unrest. Continue Reading? Please click box below!