Nickel futures fell toward $17,800 per tonne, from an over nineteen-month high of $18,700 touched last week, as traders booked profits and demand in China showed signs of softening. Chinese demand appeared cautious as spot nickel prices dropped roughly 3,450 yuan/mt, reflecting profit-taking and subdued buying interest. SHFE nickel futures were down 1.6%. Meanwhile, supply-side constraints continue to support prices. Indonesia cut its 2026 nickel ore production quotas by about 34% compared with last year, aiming to align output with processing capacity and conserve high-grade ore. Nickel Industries reported a December quarter revenue slump due to a delayed sales license, with ore sales falling from 3.09 million to 945,000 wet metric tonnes. Early January shipments have resumed, with 735,000 wet metric tonnes sold by January 17, reinforcing the market’s expectation of disciplined Indonesian supply.
