LONDON, Aug 7 (Reuters): Nickel prices rose by up to 2.3 per cent on Thursday, lifted by the closure of a mine in Papua New Guinea and the prospect that wider Western sanctions against Russia could soon affect the major producer of the metal.
Benchmark London Metal Exchange nickel for delivery in three months hit an intraday high of $19,160 per tonne, up 2.3 per cent from Wednesday's $18,725 close. It was at $18,975 in official rings against $18,725 at the close on Wednesday.
"For nickel there is an element of increased concern surrounding Russia, and we've seen that in some of the Ukraine/Russia-related products," Vicky Sanders, head of analytics, sales at Marex Spectron, said.
"In terms of sensitivities, they are high, and they are evident in LME metals, but nickel would be the one of most concern."
Washington and the European Union first imposed sanctions after Russia annexed Crimea in March and tightened them after a Malaysian airliner was shot down last month over territory in eastern Ukraine held by pro-Moscow rebels.
Russia in turn announced on Thursday a total ban of many Western foods in retaliation.
Russia's Norilsk Nickel, the world's largest nickel and palladium producer, has so far escaped sanctions, but some investors believe it is only a matter of time before the miner is affected, given the escalating tensions.
ANZ Research said in a note on Thursday that comments by Norilsk that prices of the metal were still too low also seemed to buoy investors.
Nickel rises on Russia sanctions concerns, copper steadies
FE Team | Published: August 08, 2014 00:00:00 | Updated: November 30, 2026 06:01:00
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