Nickel goes ballistic

… on a short squeeze:

The London Metal Exchange suspended trading in one of its main contracts after a vicious “short squeeze” sent the price of nickel soaring and left a Chinese metals tycoon facing billions of dollars in potential losses.

Nickel prices doubled on Tuesday and briefly rose above a record $100,000 a tonne as banks and brokers rushed to close part of a huge position amassed by Xiang Guangda, the billionaire founder of China’s leading stainless steel producer Tsingshan Holding Group. It later pulled back closer to $80,000. ……


Several months ago, I mentioned this group of “wacky or brilliant” Canadians. They had an idea, modified it somewhat, and then proceeded to successfully sell the idea via SPAC funding. The main plan is to obtain various metals (including Nickel) from deep sea nodules. The company went with a simple name, The Metals Company (TMC). TMC has had a downward sloping curve for most of its short public life.

Until today (03/08/22);
Avg volume - 1.45M shares
Today’s volume - 57.4M shares…

Although I realized a loss, it was a sensible time to trim shares.
33-50% gains don’t happen every day with that type of volume and no supporting story.
Prepared to watch and “wash” the TMC shares in the near term.

Nickel has Russia implications too, right?