Nickel futures fall on weak Asian cues, muted demand

Taking weak cues from Asian market and low demand at the domestic spot market, nickel prices dropped 0.33 per cent to Rs 565.30 per kg in futures trade today as traders cut down their bets.
At Multi Commodity Exchange, nickel for delivery in current month was trading Rs 1.90, or 0.33 per cent, down at Rs 565.30 per kg in a business turnover of 806 lots.
The metal for delivery in January next year also shed Rs 1.80, or 0.31 per cent, to Rs 571.60 per kg in a turnover of 122 lots.
Analysts said the fall in nickel prices in futures trade is mostly attributed to a weakening trend in base metals pack in Shanghai after data from China showed industrial profits declined again, underscoring a manufacturing slowdown in the biggest metals consumer.

At Shanghai, nickel prices fell 0.8 per cent to 68,600 yuan (USD 10,619) a metric tonne.
Nickel has fallen 32 per cent in Shanghai this year amid slowing demand from China's stainless-steel industry, spurring some producers to announce plans to cut supply by 20 per cent next year.
Furthermore, easing demand from alloy-makers at the domestic spot market also eased the prices.
Meanwhile, the London Metal Exchange remained closed today for a public holiday.