Nickel prices moved up by Rs 3.40 to Rs 881.10 per kg in futures market today after participants enlarged positions, tracking a firming trend overseas. Pick up in spot demand from alloy-makers helped the price rise.
At the Multi Commodity Exchange, nickel for delivery in August gained Rs 3.40, or 0.39%, to Rs 881.10 per kg in business turnover of 5,643 lots.
September nickel traded higher by Rs 2.50, or 0.39%, to Rs 891.60 per kg in 374 lots.
Globally, nickel jumped 0.7% to $15,659 per tonne at the London Metal Exchange (LME).
Analysts said besides the pick up in demand from alloy-makers in the spot market, a firming trend in the entire base metals pack at the LME supported the rise in nickel prices at futures trade.
Base metals were up at the LME on speculation that the European Central Bank will do more to contain the debt crisis after the Federal Reserve pledged additional support for the US economy if necessary.
