Nickel prices jumped hard in London, surging by more than 10% in a single session and logging the strongest daily gain in over three years and hitting a new all-time high of $18,785 per ton on the London Metal Exchange, capping a brutal two-week rally of more than 20%.
The spike came fast and during Asian hours, where most of the buying pressure showed up on a market that had been stuck under heavy supply and weak demand talk for months. Output from Indonesia kept pressure on prices, while electric-vehicle battery demand failed to meet early forecasts.
That story changed quickly as money poured into China’s metals markets and traders started reacting to rising risks around Indonesian production.
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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