Nickel prices jump as Vale ordered to suspend New Caledonia plant

|About: Vale S.A. (VALE)|By:, SA News Editor

Nickel prices reach two-year highs after New Caledonia's government ordered Vale (VALE -0.4%) to suspend activity after a spill at a local site.

Nickel surged 41% in London trading this year after leading global miner Indonesia barred exports of raw ores in January.

With the nickel market already tightening on Indonesia and possible sanctions against Russia, the news adds to the general sense that the market is facing a supply shortage over the coming months, analysts say.