It is expected that the pithead coal price will tend to decrease steadily

This week, coal mines in the main producing areas have normal production, general sales, slightly increased inventories, and prices have declined steadily. Port inventories continued to increase, but demand was expected to improve and prices stopped falling and stabilized.

Production area: pit mouth prices have dropped steadily this week. The normalization of environmental protection and safety inspection in the main production areas has little influence on the production activities of coal mines and the overall stability of coal supply. As for direct coal, the inventory of power plants is still about 140 million tons nationwide. The available days of inventory are 26 days high, and the enthusiasm of purchasing power plants is general. In terms of sewage coal, as port demand is expected to improve, the shipment of traders may increase slightly.

Port: Coal prices at the port have stopped falling and stabilized this week. With the increase of high temperature weather, the coal consumption of the six major power groups in coastal areas has continuously exceeded 700,000 tons per day, and the number of days available for inventory has been reduced by 5 to 23 days compared with last week. Demand is expected to improve and traders continue to bid. However, the port's import volume remained high, the export was relatively stable, the inventory continued to increase, and the supply pressure remained. The mainstream quotation of 5500 Daka Power Coal is basically the same as that of the same period last week.

Coal market trend in the future

More rainfall will occur in the Huanghuai area of North China in the next 10 days, and there will be a wide range of high temperatures in East China. Coal consumption of the six major power groups along the coast still has room to rise, and the procurement of power coal for northern ports will also increase. However, hydropower output continues to improve, coupled with the increase of power supply outside the area, resulting in a certain squeeze on thermal power. At the same time, the coal supply of Changxie was adequate at the beginning of the month. It is expected that the demand of port power coal market will increase next week, and the price will remain stable with a small increase, while the supply-demand relationship of pithead power coal market will improve slightly next week, and the price will stabilize and the decline will narrow.