Funds fuel strong Q1 close, nickel at 22-month high

Nickel hit a near two-year high on Wednesday, and outperformed the rest of the metals complex in the first quarter, as supply shortages and robust demand from stainless steelmakers buoyed prices. Quarter-end fund business helped push aluminum and zinc to multiweek peaks and tin to its highest since September 2008. Copper steadied from an earlier fall, but remained near 19-month highs hit Tuesday at $7,878 in London and $3.5775 per lb in New York. London copper closed at $7,780 a tonne from $7,849 at the close on Tuesday. The metal, used in construction and wiring, is up more than 5 per cent from the end of last year. At the New York Mercantile Exchange's COMEX division, copper for May delivery shed 1 cent to end at $3.5535 per lb, after dealing between $3.5215 and $3.5735. For the quarter, the benchmark Comex contract rallied 20.70 cents, or 6.2 per cent, from the end of 2009. Battery material lead ended at $2,145 from $2,135 and aluminum at $2,323 a tonne from $2,294. Aluminum earlier saw $2,343, its highest since January 14. Zinc hit a three-week high at $2,408.50 a tonne. It closed at $2,375 from Tuesday's $2,380. Tin touched $18,565 a tonne, its highest since September 2008, and ended at $18,450 a tonne versus $18,370.