Nickel prices increased 0.48 per cent to Rs 1,490.30 per kg in futures trade on Tuesday as speculators built up fresh positions amid rising demand from alloy makers in spot market.

On the Multi Commodity Exchange, nickel contracts for October delivery gained Rs 7.10, or 0.48 per cent, to Rs 1,490.30 per kg in a business turnover of 1,568 lots.

A rise in demand in spot market from alloy makers mainly supported the price rise in nickel futures, analysts said.