The Second Youth League is near Shanxi Coking Enterprise to limit production

According to market information, due to the continuous increase of coal stocks in Caofeidian Port of Huadian Power Company and the low efficiency of coal transfer, the port also charges the overdue storage fee for some customers from August 1, 2019 to December 31, 2019 in order to speed up the coal transfer in the port. The volume is as follows: for customers whose annual transit volume is less than 800,000 tons, the goods are collected and stored for coal: 1-10 days: free; 11-20 days: 0.1 CNY/ton*day; 21-30 days: 0.2 CNY/ton*day; 31 days and above: 0.4 CNY/ton*day.

Shenhua Monthly Changxie Price was announced in August yesterday. Among them, 5500 big-calorie coal was 599 CNY/ton, the ring ratio was flat, while 5000 big-calorie coal was reduced by 10 CNY/ton to 514 CNY/ton, which aggravated the bearish sentiment of the market after the price reduction of large-scale coal enterprises. Although the daily consumption of coastal power plants has increased, the demand for purchasing has not been released under the condition of sufficient stocks. The power coal market of northern ports has been cold-headed, and the speed of shipment of traders has been accelerated. Some traders have quoted foreign prices by 2-3 CNY/ton in accordance with the index. According to the understanding of the Port Traders Office, 5500 calories of low sulfur montmorillonite have downstream users in accordance with the berth day index down 2 CNY/ton transactions, but also in accordance with the index weekly average price transactions, coal prices or face downward pressure in the short term.

Daily consumption of power plants dropped below 800,000 tons again

Data show that as of August 2, the inventory of six coastal power plants was 17,651,000 tons, the cycle-to-cycle ratio decreased by 47,000 tons, an increase of 2244,000 tons over the same period of last year; the daily coal consumption was 797,000 tons, the cycle-to-cycle ratio decreased by 33,000 tons, a decrease of 35,000 tons over the same period of last year; the available days were 222 days, and the cycle-to-cycle ratio increased by 0.1 days. The increase was 3.7 days compared with the same period last year. It can be seen that the delayed high temperature weather has significantly boosted the daily consumption of power plants. However, the increase in daily consumption in the past few days has triggered a tender sentiment, which once triggered a small increase in quotations from some traders in northern ports. Analysts point out that although the temperature has risen recently, the actual load of power plants has not reached the peak level in previous years. Power plants reflect the low willingness to purchase coal in the market under the existing inventory and daily consumption level. Therefore, for TRADERS'bid-offs, the downstream is not affected. On the whole, the weakness of the demand side still dominates, and there is no basis for a big rise. Coal prices may rebound in the short term, but the downward trend of the overall price center will not change.

The Second Youth League is close to Shanxi Coke Enterprise Limitation

Coke. A few state-owned coke enterprises in Shanxi and some coke enterprises in Xuzhou have limited production. There is a slight decline in the supply side, but the overall output is high. With the approaching of the Second Youth League in Shanxi, it is not ruled out that some coke enterprises in Shanxi have the possibility of implementing limited production. Market news said that the second round of coke price increase of 100 CNY/ton range slightly expanded. Following a few coke enterprises in Shanxi Jinzhong and Lvliang, some coke enterprises in Shanxi followed the market to adjust 100 yuan, steel mills did not reply for a long time, coke steel market game. The price quotation of metallurgical coke in Xuzhou area of Jiangsu Province has increased by 50 CNY/ton, and now the quasi-first-class dry quotation is 2350; the quasi-first-class wet quotation is 2150-2200. Up to now, some coke enterprises in Xuzhou area have been pushed out and need to wait for the completion of coke dry quenching equipment to be determined. Some coke enterprises have begun to limit their production by 40-50%. It is estimated that Xuzhou's daily production will be around 19,000 tons. According to the estimation of the origin on July 30, it is estimated that the spot cost of quasi-primary metallurgical coke from Shanxi to Rizhao Port is about 2050 CNY/ton, and the mainstream quotation of quasi-primary metallurgical coke from the port is about 2050-2100 CNY/ton. There is still a certain profit in spot resources. With the stabilization and rebound of coke market,

coking coal is now purchasing more coking coal. The coking coal shipments in Linfen, Changzhi and Luliang of Shanxi Province are beginning to improve. The coking coal prices of individual coal enterprises have increased slightly, but most coal enterprises are more stable in the future. At present, the main coke and fertilizer coal of high quality may continue to increase because of the small increase of downstream profits; however, due to the sufficient supply of coke coal, there is still some resistance to the rise, or a small increase or stability, which does not exclude the possibility that individual coal mines with high inventory pressure will continue to decline. The main reason is that the terminal steel market performance is not good, and the coke continues to rise momentum is not enough, to a certain extent, affecting the terminal demand for coking coal.