Market sentiment weakened amid policy disturbance, in spite of bullish demand for met coke

SHANGHAI, May 25 (SMM) – Domestic met coke prices were firm last week. Coking plants actively operated supported by modest profits and market supply and sales rose. The resource mostly flew into mills and coking plants have no inventories. The mainstream quasi-level coke wet quenching in Shanxi was quoted at 2,690-2,820 yuan/mt. In terms of demand, the average daily output of molten iron at steel plants remained high, with strong demand for met coke, and in-plant met coke inventories were at a low level. Coke stocks at individual mills rose as arrivals of cargoes improved while finished product stocks at some mills rose slightly last week, which are likely to reduce restocking volume for coke. Mindset of market participants and the implementation of environmental restrictions remain as the market focus. Demand for coke from steel mills was positive, supporting met coke prices. But market sentiment weakened and speculative demand of traders has decreased due to futures market. Port traders shipped cargoes actively. Policy on bulk commodities may have a certain degree of impact on the coke market. Coke prices are expected to be firm.