Nickel futures fall on weak overseas cues, muted spot demand

Amid a weak trend in global market and subdued domestic demand, nickel traded 0.15 per cent lower at Rs 588.90 per kg in futures trade today as speculators reduced their bets.
In futures trading at the Multi Commodity Exchange, nickel for delivery in current month was trading down by 90 paise, or 0.15 per cent, at Rs 588.90 per kg, in a business turnover of 256 lots.
The metal for delivery in June was also down by a similar margin to trade at Rs 594.90 per kg, in a business turnover of 66 lots.
Analysts said the fall in nickel prices was mostly in line with a weakening trend in select base metals at the London Metal Exchange (LME) after Moody's Investors Service downgraded China's credit rating and warned that the country's debt position will worsen as its economic expansion slows.

Muted demand from alloy-makers at the domestic spot markets also weighed on the metal prices, they said.