Commodity prices are all over the map these days, reacting to every little bit of news.

One good thing about nickel is at least you can't call it in a bubble due to burst... it has declined significantly and is fairly well valued compared to its supply/demand (inventory) dynamics. A high proportion of nickel never flows through LME warehouses, so LME stock levels aren't always the best indicator of actual supply/demand, but they can certainly act as a barometer on what the overall picture is.

Hopefully a few months of relative stability in nickel prices in the $10-$12 range will spur on some renewed growth in the stainless steel markets.