The nickel market is experiencing a resurgence of extreme volatility, echoing the chaotic conditions observed in March 2022. Recent trading sessions have been marked by substantial price fluctuations, creating uncertainty and apprehension among investors and industry stakeholders.

These volatile swings have prompted renewed scrutiny of market mechanisms and risk management practices. Concerns are mounting about the potential for further disruptions and the impact on both producers and consumers of nickel.

Factors contributing to the current volatility include:

• Geopolitical tensions
• Supply chain vulnerabilities
• Speculative trading activity
• Inventory levels

Market participants are closely monitoring developments and assessing the potential implications for their operations. The London Metal Exchange (LME) is also under pressure to ensure market stability and prevent future episodes of extreme volatility.