Trading in nickel, much of it produced in Russia, was suspended Tuesday on the London Metal Exchange after prices doubled to an unprecedented $100,000 per metric ton.
Nickel is used mostly to produce stainless steel and some alloys, but increasingly it is used in batteries, particularly electric vehicle batteries.
Russia, facing severe economic sanctions after invading Ukraine, is the world's third-biggest nickel producer. The Russian mining company Nornickel is a major supplier of high-grade nickel that is used in electric vehicles.
Nickel prices had quadrupled in a week's oversupply issues and the spike Tuesday forced the LME to shut down electronic and floor trading.
Trading in nickel will not resume Tuesday and the halt could last longer than that “given the geopolitical situation which underlies recent price moves,” the LME said Tuesday.
