Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers -- Ignore unavailable to you. Want to Upgrade?

To: LLCF who wrote (35925)	3/14/2007 11:45:40 PM
From: hank2010	Respond to of 78417

LONDON (Dow Jones)--London Metal Exchange nickel extended its recent strength to hit another all-time high of $45,000 a metric ton Wednesday, amid low supplies and positive sentiment across the base metals complex, said traders. "Nickel is benefiting from the positive sentiment across the base metals complex Wednesday," said an LME trader. A drawdown in LME nickel stocks highlights an already tight supply situation adding to price support, he added. LME nickel stocks fell 60 tons to 3,816 tons Wednesday. And with canceled warrants - or material accounted for and to be drawn down at a later date - at 36% of global LME nickel stocks, available inventories comprise less than one day's worth of nickel consumption. "Continued short-covering has helped to send prices higher Wednesday but I don't see this as being fresh longs," said another London-based trader. In a surprise to some investors, nickel has continued to hold at record high levels despite renewed concerns of global risk reduction. Earlier Wednesday, Japan's Nikkei closed 3% lower while Hong Kong's Hang Seng sold off 2.8%, following a drop of 1.97% on the Dow Jones Industrial Average Tuesday. However, U.S. stocks have opened higher Wednesday. "Base metals should prove more resilient given that the developing world rather than the developed world is the main driver, and that supply/demand fundamentals remain tight," said Robin Bhar of UBS. Nevertheless, traders will continue to keep a close watch on the equity markets and the reaction to the recent subprime mortgage storm. If fresh fund allocations return to nickel in the coming weeks, further upside gains cannot be ruled out, traders said. At 1357 GMT, three-month nickel traded at $44,850/ton, up nearly 3% from Tuesday. -By Lisa Yuriko Thomas, Dow Jones Newswires; +44 (0)20 7842 9410; lisa.thomas@dowjones.com