Includes charts and the Bloomberg story which explains why Nickel was up +128% for March 2022 at one point earlier in this week:
$JJN is up 42.90% for the month of March 2022, but was up +128% earlier in the week before the “Chinese Nickel Whale” was saved:
Direct link to the Bloomberg story about the Nickel Whale:
The deals come after the price of nickel, the metal used to produce stainless steel and electric batteries, rocketed to above $100,000 a ton on Tuesday before the LME suspended the market and canceled all trades that took place during Asian hours. Nickel has been rising for weeks on fears of disruptions to supplies from Russia, the largest exporter of refined nickel. The rally intensified this week, with prices surging as much as 250% in little more than 24 hours, as traders with short positions rushed to cover their bets.
Xiang and his firm hold a position of about 100,000 tons of nickel on the LME, people familiar with the matter said. It could be larger when bets through intermediaries are taken into account. His mark-to-market losses would be in the billions of dollars even at $48,063 a ton, which is where the price now stands after it was halted and trades were canceled.
On Monday, CCBI Global Markets, one of Tsingshan’s brokers, failed to pay hundreds of millions of dollars in margin calls on its nickel positions. The LME refrained from putting it into default, giving it more time to pay. The broker was able to settle the margin calls on Tuesday after several clients, including Tsingshan, got loans to cover their positions, one of the people said.