Nickel Prices Explode: London Market Sees 10%+ Surge to 3-Year High of $18,785/Ton

Nickel just ripped through the roof in London trading.

The Raw Numbers Don't Lie

A double-digit percentage gain—over 10%—propelled the industrial metal to a level not seen in three years. The final price tag? A cool $18,785 per ton. This isn't a blip; it's a statement. The surge signals a fundamental shift, catching more than a few traditional commodity desks flat-footed.

What's Fueling the Frenzy?

Forget slow-and-steady. This is a classic supply-demand shockwave. Global infrastructure and green energy pushes are colliding with constrained supply chains, creating a perfect storm for the base metal. It's a stark reminder that physical assets can still pack a volatile punch, often while Wall Street analysts are busy adjusting their quarterly models.

The Bigger Picture

This kind of move in a core industrial commodity sends tremors far beyond the London Metal Exchange. It pressures manufacturing costs, reshapes inflation expectations, and forces a hard look at resource security. In an era obsessed with digital assets, a humble metal just delivered a masterclass in real-world value discovery—proving that sometimes the oldest plays write the most explosive headlines. A cynical take? The suits managing pension funds are probably just now realizing their 'diversified' portfolio was dangerously underweight the stuff that actually builds things.

China drives metals higher across multiple trading sessions

Trading patterns showed Chinese investors played a direct role in pushing nickel, gold, and other metals higher, as prices jumped during high-volume trading on the London Metal Exchange while Asia was active, according to data from Bloomberg.

Gains picked up again when night trading opened on the Shanghai Futures Exchange. Copper and tin followed the same path, rallying by 3% and 4% respectively during the same windows.

The MOVE also stood out because it came without any major supply cuts. The price jump was driven by positioning, flows, and speed. Traders reacted to where the money was moving, not long-term balance sheets. That flow was centered in China and spread quickly across global exchanges, lifting nickel alongside copper and tin.

Geopolitical shock boosts metals rally into 2026 after an outstanding 2025

The metals surge landed as investors were already leaning into commodities ahead of 2026. The attack on Venezuela ordered by U.S. President Donald TRUMP added fuel to that trade. Venezuela’s president, Nicolas Maduro, was ousted over the weekend, making investors all over the world concerned about global supply security.

Metals had already posted massive gains in 2025. Gold rose more than 64%. Silver jumped over 141%. Copper gained more than 40%. The rally continued Tuesday. Gold pushed higher again. Silver climbed more than 4% toward a record close. Copper surged as much as 5%, breaking $13,000 per ton for the first time.

“I think that industrial metals can go parabolic in ’26,” said Marko Papic of BCA Access. Marko said he had considered taking profits after years of gains, but changed his view after the Venezuela move. He said countries may respond by stockpiling oil, gold, copper, and nickel to protect supply.

“It suggests the United States has a different view on how resources are controlled,” Marko said. “That could push major powers to pull materials off the global market.” He added that global trade in commodities may need restructuring, with prices reacting first.

Amy Gower of Morgan Stanley also flagged rising risk. Amy holds a $4,800 gold target and said recent events lifted demand for precious metals. She pointed to the widespread debate around the dollar’s safe-haven role as another factor supporting metals.

Marko said investors could gain exposure through physical assets or ETFs. In December, Citi Research rated Hudbay Minerals buy high risk and Lundin Mining buy, expecting copper to hit record levels in 2026. Hudbay ROSE more than 8% this week. Lundin gained nearly 7%.

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