Nickel for delivery in September moved up by Rs 4.60 or 0.70 per cent to Rs 661.80 per kg, in a business turnover of 482 lots at the Multi Commodity Exchange.
Similarly, the metal for delivery in October traded higher by Rs 3.90 or 0.59 per cent to Rs 667.30 per kg in 4 lots.
Analysts attributed the rise in nickel prices at futures trade to rising demand from alloy-makers in the spot market and a better trend in metals at the London Metal Exchange (LME) after China's official factory gauge unexpectedly rose last month to the highest level in almost two years, signaling an improved demand outlook in the world's top metal user.