Nickel jumps over 4% on weak dollar and strong demand

Nickel prices surged on Friday, as the US dollar fell, and strong demand from electric vehicles makers.

Major EV manufacturers led by Tesla and its CEO Elon Musk praised nickel for its capabilities in electric batteries.

Analysts see that nickel is heading toward a surge in global demand in the next few years as many car companies are turning to manufacturing electric vehicles.

This comes thanks to many countries efforts to fight the climate change by reducing carbon dioxide emissions and the adoption of environmentally friendly policies.

The dollar index fell against a basket of major currencies by 0.3% to 90.3 points as of 14:28 GMT, after hitting a high of 90.6 points and a low of 90.1 points.

Nickel spot futures rose 4.5% to trade at $19541.1 per tonne as of 14:39 GMT.