How about the trend of coal price before the Spring Festival?

In the near future, the coal inventory of northern port fell rapidly, and the production of coal mines near the end of the year was mostly closed and reduced. Some high-quality coal sources in the port were in short supply, and traders were generally reluctant to wait and see, resulting in a small increase in coal prices. According to the guidance price of Fengkuang power coal, the main quotation of 5500 kcal at the port is mainly 559 CNY/ton, up 4-5 CNY/ton from the beginning of this week. With the arrival of the traditional Spring Festival, can the port coal price still keep rising? Judging from the operation of the power coal market this week, the port coal price has gradually slowed down from the second half of the week, showing a trend of stabilization. Today's think tank thinks that in the later stage, the momentum of port coal price rise is obviously insufficient, and the rate will fall slightly next week. There are two main reasons why think tanks think so today. First, the downstream demand has shrunk.

With the traditional Spring Festival approaching, the downstream industrial enterprises are mostly on holiday. The industrial power consumption is bound to decline significantly. This week, the daily consumption of six major coastal power plants has dropped from a high level of 770000 tons to the current 700000 tons. In the later stage, with the gradual rise of the temperature in the south of China, the coal consumption demand of power plants will be further reduced, and the coal price Demand support will also weaken. Second, in 2020, imported coal will be reopened again. Today's think tank has learned that some coastal areas in the South have begun to import coal to Hong Kong. With the high-level replenishment of imported coal in the later stage of the power plant, the demand for coal in the domestic market will be squeezed, leading to further lower domestic coal prices. On the whole, the coal price demand support will gradually weaken before the Spring Festival, and the port coal price is expected to decline in a weak way. However, due to the fact that the coal supply from the production area has not yet recovered, the shipping cost still has some support, and it is expected that the coal price drop will be limited.