Will the port coal price rise next week?

This week, both supply and demand of power coal market in port and origin showed a weak trend. Coal price in origin fell slightly, and coal price in port remained weak and stable, with little change on the whole.

Specifically speaking, the coal price in Yulin area of Shaanxi Province has not changed significantly this week as a whole. Due to the investigation of downstream procurement enthusiasm, the overall sales of some mines have weakened compared with the earlier period, and the coal price has dropped by 5-10 CNY/ton steadily and slightly. In the Ordos region of Inner Mongolia, coal prices have declined steadily, market demand has been sluggish after the festival. Some mines are not active in pulling and transporting coal. Coal prices have dropped slightly by about 5 yuan per ton. Coal price in northern Shanxi is mainly stable. Due to the weak influence of port market demand, coal mine shipment is general, and the overall change of coal price is not big. On the port side, after the National Day, the market demand is cold, and there are many inquiries for medium and low calorie coal, but the turnover is relatively scarce. There is a strong wait-and-see mood in the port, and the coal price, supported by the high upstream cost, has little change as a whole. According to the price of power coal in FengMine, up to now, the mainstream price of 5500 cards in port is mainly around 582 CNY/ton, while the mainstream price of 5000 cards is mostly around 516 CNY/ton.

On the downstream demand side, the demand for inquiries downstream this week is low and the wait-and-see mood is strong. Supported by the high overall inventory of the main power plants, the enthusiasm of end-users in purchasing is not high, which leads to the weak and stable market of port power coal. With the approaching of the downstream replenishment period and the decrease of temperature, coal prices are expected to rise slightly in the later period.

Coke price remains stable this week. Some coke enterprises have increased raw material costs due to transportation restrictions in individual sections during National Day. On this basis, coke prices have been raised. However, due to high inventory and new environmental protection policies introduced in the downstream, the demand for higher coke prices has not been agreed for the time being. At present, the market has a wait-and-see attitude towards coke prices, up to No. 11. The price of the first-grade metallurgical coke in Linfen, Shanxi Province is 1850 CNY/ton; the first-grade metallurgical coke in Tangshan, Hebei Province is 1910 CNY/ton; and the first-grade metallurgical coke in Rizhao Port is 1870 CNY/ton. After the National Day, both coke and steel enterprises gradually resumed production, and the previous road control was gradually abolished. Sales of coke enterprises were mainly to reduce inventory, and purchasing enthusiasm of downstream steel enterprises and traders was general. Therefore, there was no much insistence on the request for temporary unapproved increase. The market was mainly on wait-and-see. Tangshan District promulgated a new environmental protection policy on 9 th to limit production of class C steel enterprises. More, according to today's think tank estimates, the current supply is slightly larger than demand, but steel enterprises have significantly resumed production. Although limited production policies in individual regions, the specific implementation needs to be continued attention, so coke prices are expected to be stable next week.

This week, coking coal prices in individual areas have decreased, mainly due to environmental protection and production restrictions and traffic control during the National Day, resulting in poor delivery of coal mines and increased inventory. Coking coal prices have recently suffered setbacks, but today think tanks believe that prices will gradually stabilize in the latter period, transportation will gradually recover, downstream production is obvious, especially steel enterprises, to a certain extent, supporting the demand for coking coal, but the price rise is also more difficult, mainly due to the lower profits of downstream coking enterprises, and will enter the autumn and winter period of environmental protection and production limitation, so coking is expected in the short term. Coal prices are running weakly.