Shanghai Securities reported that domestic coal price picks up since last December with uptrend continuing, MoC monitored. Coal price during January 12th to January 19th rebounded 0.4% WoW and 3.3% from that in middle December.
According to the statistics, in the north market, coal price increased CNY 20 per tonnes to CNY 40 per tonnes from the review period in last December and up CNY 15 per tonnes to CNY 50 per tonnes in the east China while Qinhuangdao Datong blend coal was rallying 7.2% and Shanxi bend coal was jumping 17.2%.
The statistics showed that thermal coal stock directly for electric power generation dropped from 50 million tonnes in the November end to 430 million tonnes in the December end.
Meanwhile, state stimulus plan to expend demand and protect economic growth also added investment in infrastructure which would lend a support to steel market and coal demand. At the same time, large miners in Shanxi Province have almost cut 30% production which has also diminished the supplement in Henan, Guizhou and the other places.
In analysts' eye, coal price would roll up further in near term but may not stage great ascent amid lasting gloomy economy and weak industrial market.