Nickel down 0.6% on overseas trend, subdued demand

Amid a weak trend in the global markets and subdued domestic demand, nickel traded 0.61 per cent lower at Rs 687.90 per kg in futures trade today.

At the Multi Commodity Exchange, nickel for delivery in August was trading Rs 4.20, or 0.61 per cent down at Rs 687.90 per kg in a business turnover of 181 lots.

The metal for delivery in September was also down by Rs 4.20, or 0.60 per cent to Rs 694.50 per kg in a turnover of 120 lots.

Analysts said the fall in nickel prices was mostly in tandem with a weakening trend in the base metals pack at the London Metal Exchange (LME).

Besides, low domestic demand, particularly from alloy-makers, weighed on the metal prices, they said.

Globally, nickel plunged to the lowest level since 2008 yesterday after the surprise yuan's devaluation. China is the world's biggest refined metal producer and consumer.