Nickel prices stabilized on Thursday as the dollar eked out gains against most major rivals following US data.

Nickel, used in steel and EV batteries, could receive support from expectations that Indonesia will impose restrictions on its exports.

Recent media reports showed that Indonesia will impose a wide swathe of limits and export bans on 12 mineral resources, including cobalt, copper, and silicone, and 12 non-mineral commodities. 

The export restrictions on nickel in particular would have the biggest impact on the minerals market. 

Otherwise, the dollar index rose 0.1% as of 15:37 GMT to 106.5, with a session-high at 107.06, and a low at 106.4.

Dollar’s gains came after Donald Trump’s stunning landslide victory over Kamala Harris, returning once more to the White House. 

Trump managed to gather over 270 electoral college votes, while winning the popular vote with over 71 million votes. 

On trading, nickel spot prices stabilized at $15.5 thousand a tone as of 15:50 GMT.

Oil prices rose in American trade on Thursday and moved away from two-week lows amid active short-covering, and after initial data showed an unexpected drop in US crude stocks. 

Now traders await official EIA inventory data later today, expected to show a buildup for a second week.

Prices are also boosted by speculation about the future of Iranian supplies after Donald Trump’s election victory, while traders analyze the new dynamics of supply and demand. 

Prices

US crude rose 1.8% today to $69.26 a barrel, with a session-low at $67.95.

Brent rose 1.7% to $73.10 a barrel, with a session-low at $71.83.

On Wednesday, US crude rose 0.15%, the first profit in four days away from a two-week trough at $66.97, while Brent added 0.3% away from October 30 lows at $70.80.

US Stocks 

Initial data from the American Petroleum Institute showed US crude stocks fell 0.8 million barrels in the week ending November 8, while analysts expected a build of 1 million barrels.

It’s the second weekly drawdown in the last three weeks, and a positive sign for US demand. 

Iranian Supplies

According to US sources, American President-elect Donald Trump is expected to tap Marco Rubio for the foreign secretary post, and he’s known for his harsh stance on Iran, China, and Cuba.

Analysts believe that appointing Rubio would likely stimulate oil prices, and could lead to new sanctions on Iran, which would remove 1.3 million bpd of global supplies.

Conversely, the Iranian government said the country has taken measures to maintain production and exports, and is ready for any potential restrictions from the US.

Grim Outlook

According to the monthly report by the International Energy Agency, it’s expected for global crude supplies to outstrip demand by over a million bpd, led by strong US production growth.

OPEC has reduced its outlook for global demand growth this year and the next, due to weakness in China, India, and other regions.

Oil Prices Forecasts

UBS has reduced its forecasts for Brent prices from $87 to $80 a barrel due to weakening demand in China, the world’s top crude importer.

US unemployment claims fell slightly to 217 thousand in the week ending November 9, down from 221 thousand in the previous reading, and below expectations of 224 thousand.

US producer prices rose 0.2% m/m in October, matching expectations and up from 0.1% in September.

Core prices, excluding food and energy, rose 0.3% in October, matching forecasts and up from 0.2% in the previous reading.