Tuesday, January 6, 2015

The Philippine ban on nickel spooks out LME

The Philippine ban on nickel spooks out LME
After the Indonesian government, had declared the ban on the export of nickel ore, its on he Philippines that the whole demand of China is depended.the news that the Philippines is also planning to follow the path of Indonesia has created a kind of panic alert in the market of nickel. But a temporary relief was bought in, when the government of Indonesia itself declared that, the ban will be only after a few years.
At the London Metal Exchange, the benchmark price of nickel declined 1000 dollars to 18,925 dollars on Tuesday; a three month collapses, wiping clean all the profits gained by nickel in the previous days. Even so the news  of the nickel export ban in  the Philippines has highly affected the market, not sure whether to invest in the sinking ship or not. And it can be fairly stated that, the reason behind the recent lagging in the market. It might also turn out to be the effect of recent rumors that have been set out
After the ban announced by the Indonesian government, due to the decline in the price of the commodity in the market, has actually affected the whole base metal strategy. After Indonesia has put on a ban on the export of the commodity, the Philippines were in charge of the commodity’s distribution. The export ban has mostly affected China and also many other countries, who used to be highly depending on nickel, for the production of stainless steel in the market.

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