Nickel’s Rally Exposes the Fragile Future of Australia’s Producers

Nickel's sudden jump to a 15 month-high has injected a rare dose of optimism into a market that has spent the past three years buckling under a global supply glut. Prices spiked more than 10% to US$18,785 per tonne after Brazilian major Vale temporarily halted its Indonesian operations while awaiting government approval for a new production permit.

For commodity traders already anxious about tightening supply from Indonesia, the world's largest nickel producer, the pause was enough to trigger a scramble for cover. But beneath the volatility sits a stubborn truth: the rally reflects a logistical. . .