MARKET TALK: LME Nickel Selloff Expected; Not A Concern

The recent profit-taking selloff in LME nickel "isn't a cause for alarm," says a broker, and is to be expected given the scale of the market's ascent in recent days. Increasingly volatile conditions are likely, he adds, as liquidity dries up. Supply worries, including the possibility of a strike at Xstrata's Sudbury operations, continue to underpin prices. LME nickel trades last at $37,350 a metric ton, down from $38,500/ton Wednesday but up from $37,350/ton overnight.