Transaction Prices of First-grade Metallurgical Remain Flat

SHANGHAI, Mar 22 (SMM) - On March 21, the transaction prices of first-grade metallurgical CQD in Luliang, Shanxi were 2,890 yuan/mt, flat from the previous day.

Coal mines continued to operate normally while the downstream demand was weak, hence shipments weakened. As such, coking coal supply was sufficient and quotations for some coal types were lowered.

On the supply side, the impact of environmental protection and safety inspections has been eliminated, and profits have gradually recovered. As such, coke company has started to increase production and shipments were active, leading to declining coke stocks.
On the demand side, steel mills generally purchased coke on rigid demand.
On the whole, the cost support has weakened in the near future, and thus the bullish sentiment cooled down. Therefore, some coke company have begun to sell in large quantities .