Nickel traded around $16,400 per tonne, hovering near its lowest level since late December, as expectations of higher Indonesian supply continued to weigh on market sentiment.
Investors remained focused on reports that Indonesia is considering raising its 2026 mining quota to around 360 million tonnes from roughly 260 million tonnes, reversing earlier production curbs that had lifted prices at the start of the year and reviving concerns over global oversupply.
The bearish outlook was further reinforced by Nickel Industries' plans to ramp up production at its new Excelsior Nickel Cobalt HPAL plant while expanding downstream processing capacity through additional HPAL investments, supporting expectations of higher future nickel output.
Meanwhile, elevated LME and SHFE nickel inventories continued to signal ample refined metal supply, limiting any sustained price recovery.