Short-Term Coke Prices to Stabilise

SHANGHAI, Feb 22 (SMM) - 

Coking coal:

Downstream purchases are made on demand, and traders have not yet entered the market. Some coal mines bore a certain inventory pressure, but demand for some coal types was better, and the quotes remained relatively firm.

Coke:

On the supply side, coke enterprises maintained normal production. The market sentiment gradually improved, and some traders became more willing to restock. Besides, steel mills also made some purchases. Coke enterprises shipped relatively smoothly, but some were reluctant to sell.

Terminal demand has picked up significantly recently. Steel prices have rebounded slightly, expanding the mills’ profits. Operating rates of blast furnaces were on the rise, and the demand for coke grew.

On the whole, the profit margins of steel mills have improved, thus the coke demand increased. The supply and demand for coke are facing good development. SMM expects that the short-term coke prices may temporarily stabilise.