METALS-Nickel rises on tighter Philippine supply, Chinese fund injection

(Recasts; updates prices)
By Mai Nguyen
Aug 17 (Reuters) - Nickel prices jumped on Monday on falling
ore output in the Philippines while risk sentiment was boosted
by China's central bank injecting fresh funds into the country's
financial system.
The most-traded October nickel contract on the Shanghai
Futures Exchange SNIcv1 closed up 2.5% to 115,950 yuan
($16,711.83) a tonne, its third consecutive daily gain.
Three-month nickel on the London Metal Exchange CMNI3 rose
1.6% to $14,590 a tonne at 0704 GMT.
Nickel ore output from the Philippines, the world's biggest
exporter of the material, dropped 28% year-on-year to 102,310
tonnes by metal content in January-June, data from the Mines and
Geosciences Bureau showed. A series of upbeat economic data released this month from
top consumer China also supported prices, with rising auto sales
and factory activity suggesting the economy was recovering from
novel coronavirus-driven lows. "Seems that nickel price is still stimulated by optimism
from good (Chinese) industry numbers," said a nickel trader,
adding the Philippines' current rainy season could impact
supply.
Other base metals also advanced, as the central bank in
China, the world's top metals consumer, issued loans worth 700
billion yuan ($100.90 billion) to financial institutions.
* ShFE stainless steel futures SHSScv1 climbed as much as
4.2% to 14,775 yuan a tonne.
* Nickel ore prices at Philippine ports SMM-NIC-NLOLYGP
were hovering at their highest level in eight and a half months
at $10.25 a tonne, data from metals prices provider SMM showed.
* ShFE zinc SZNcv1 hit its highest since June 2019 at
19,855 yuan a tonne, while LME zinc CMZN3 climbed to near a
seven-month high at $2,432 a tonne.
* LME copper CMCU3 advanced 0.9% to $6,422 a tonne,
aluminium CMAL3 rose 0.9% to $1,761.50 a tonne, while ShFE
copper SCFcv1 increased 1.7% to 50,730 yuan a tonne and ShFE
aluminium SAFcv1 edged up 0.3% to 14,405 yuan a tonne.
* For the top stories in metals and other news, click
TOP/MTL or MET/L .

($1 = 6.9382 yuan)