nickel booming tonight on lme

Nickel flying tonight on the LME. Looks good for MCR and other nickel stocks tomorrow.

Cobby

Reuters
LME nickel at fresh 14-1/2 year high, rest firmer
Monday December 29, 6:00 am ET


LONDON, Dec 29 (Reuters) - London Metal Exchange (LME) nickel
prices pushed higher in Monday's pre-market, reaching fresh 14-1/2 year highs on short covering
in thin trading across all markets, traders said.
"Nickel's been marked up this morning because I think there are some running a bit short,"
one LME trader said.
"There's talk that there is some poor soul out there who is particularly short (in nickel),
but overall we're not exactly inundated with buying enquiries this morning."
Benchmark three-months nickel (MNI3) jumped to $16,250/16,300 a tonne at 1050 GMT, up from
$15,750 last traded before the LME closed last Wednesday for the Christmas holiday.
Prices are currently at their highest since April 1989.
"The markets should hold reasonably steady until the new year," the trader said.
"We might see the funds return to buy on the first day of the new year (LME trading) on Friday
or possibly next Monday, but if no buying interest returns we may see a correction in metals
prices as we go through the month."
Copper (MCU3) moved up to $2,270/272 from $2,240.50 at the last kerb close, gaining a fresh
6-1/4 year peak last reached at $2,248 ten days ago.
Red metal futures rose in thin Asian trading following gains in Shanghai. Initial resistance
is offered at $2,300 with $2,338 reached in August 1997.
Aluminium (MAL3) strengthened to $1,594/596 versus $1,589 in London last Wednesday.
The LME said last Monday its investigation into the aluminium market had uncovered evidence
of a form of collusion and misconduct by non-LME members, and that it had referred findings to
Britain's Financial Services Authority (FSA).
Light buying in Asian markets on Monday helped lift lead and tin, traders said.
Zinc (MZN3) was marginally up at $1,010/12 versus $1,003, while lead (MPB3) edged up to $709/712
from $703, a high last seen in March 1997.
Tin prices stood at $6,410/440 -- a fresh 7-1/2 year high -- against $6,330.