3. Coke market may firm up this week

Core point of view: In spite of profit erosions, steel mills decreased pig iron output at a slow pace last week, fuelling rigid coke demand. Accident-generated shutdown of coal mine lingered last week, tightening coking coal supply. In a word, coke supply and demand will be in a tight balance. Cost support will be strong. Moreover, the third round of coke price increases may occur. Therefore, coke market may firm up this week.