Nickel falls on rising dollar

Nickel prices fell on Wednesday, as the US dollar rose against its peers, despite expectations of a shortage in the global supply of several industrial metals.

Nickel was lifted recently expectations of a shortage in the global supply during 2021, in tandem with improved demand as economies gradually recover from the coronavirus pandemic impact.

The metal is widely used in the steel industry and was picked by electric vehicle companies thanks to its potential in the manufacture of batteries.

Most international financial institutions forecast that the global economy will grow by 6% this year.

The dollar index fell against a basket of major currencies by 0.3% to 90.4 points as of 13:54 GMT, after hitting a high of 90.6 points and a low of 90.1 points.

As of 13:55 GMT, nickel spot future contracts fell 1.8% to $17,749.7 per tonne.