Reportedly, nickel prices were expected to soar further this year due to tight supply and rapidly rising demand. Besides, it’s estimated that the supply of nickel might be reduced by the rising coking coal prices.

Meanwhile, it’s predicted that the average spot price of nickel would be at US$24,215/ton this year, much higher than the price of US$21,811/ton at LME in 2010.

Also, market insiders estimated that the demand for refined nickel would increase by 10% to 1.5 million tons and the supply would rise by 7%.

Moreover, it’s said that the tight supply of nickel in the first half of 2011 would bring pressure to the supply; accordingly, nickel prices would soar further.