Copper drifts

Reuters

Melbourne

London nickel took another shot at the $10,000 mark on Monday as prices gained steam on supply concerns after the Philippines toughened its stance on mining, threatening supply to China.

LME nickel rose 1.1 percent to $9,985 a tonne, within sight of the $10,410 a tonne it touched on July 4, the highest since last October.  Prices have jumped 32 percent from 13-year lows hit in mid-February.

The Philippines has ordered the suspension of operations at two nickel ore mines for environmental violations and halted the issuance of exploration permits as a nationwide crackdown led by a new mining minister begins.

The move could curb nickel ore shipments from the Southeast Asian country, the top supplier to No.1 market China, and push global prices up further.

However, a huge glut of stocks - equal to half a year´s supply - could put the brakes on any rally.