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Macro and fundamental pressures, combined with ample nickel supply, may lead to a slight decline in nickel prices on the 29th.

Futures Market: With the US dollar declining for two consecutive days, overnight London nickel prices rose by 2.28%. The latest closing price was 20,030, a decrease of $810 or 3.89% compared to the previous trading session. The trading volume was 3,643 lots, an increase of 5 lots compared to the previous trading session, and the open interest decreased by 11 to 139,533 lots. In the domestic futures market, night trading for Shanghai nickel showed low-level fluctuations and experienced another decline. The main contract, Shanghai nickel 2308, closed at 155,850 yuan per ton, down 2,810 yuan or 1.77%.

London Metal Exchange (LME) reported nickel inventory of 39,348 tons on June 28th, which remained unchanged compared to the previous trading day.

Today, Shanghai nickel futures opened lower across the board. The main contract for August 2023, 2308, opened at 155,370, down 3,290. At 9:10 a.m., the main contract for August 2308 closed at 156,550, down 2,110. Shanghai nickel opened lower and continued to decline, with a slightly bearish market. Both macroeconomic and fundamental factors weighed on nickel, resulting in a weak rebound yesterday and a subsequent weak and volatile trend. With the expansion of nickel delivery products and sufficient nickel supply, coupled with slim profits for iron factories and weakening nickel-iron prices, stainless steel prices have been running weakly. Spot transactions have been sluggish. However, in early trading today, the US dollar slightly declined, narrowing the decline in Shanghai nickel. It is expected that nickel will experience a slight decline today.

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