Coke inventory is still Low while Demand for Coke is Average

SHANGHAI, Feb 21 (SMM) - On February 20, the transaction prices of first-grade metallurgical CQD in Luliang, Shanxi were 2,890 yuan/mt (ex-factory), flat from the previous day.

Downstream companies purchased on demand, and traders were less willing to pick up goods. The inventory of some coal mines increased, but the overall inventory was still at a low level for the time being. As such, the quotations were temporarily stable.

On the supply side, the prices of coking coal have fallen recently, slightly pushing up the profits of coke companies, and some coke companies intended to increase production. On the demand side, the operating rates of steel mills increased slightly, and the pig iron output rose. Hence they still purchased some coke, but the traders did not buy goods.