Coal price stability on the horizon?
Thomson Reuters Point Carbon has released this week’s coal market driver information.
Front year coal closed at US$ 75/t on Friday, a 5 1/2 year low that was down US$ 1.45/t on the week. Drivers were mainly macro driven, such as weak oil and a weaker Euro, making dollar denominated coal more expensive for European buyers. Physical trades were also down on the week and falling gas put downward pressure at the end of the week.
Outlook
The fundamental picture remains weak but falling prices for the past three weeks increase the likelihood of stability. However, oil continues to look bearish and there is a possibility of the gas curve falling sharply this week as an agreement between Ukraine and Russia on winter supplies nears. The analysis does not highlight any strong upside drivers.
Adapted from press release by Katie Woodward
Read the article online at: https://www.worldcoal.com/coal/29092014/coal-price-stability-ahead-1365/
You might also like
EIA reduces its forecast for US coal exports following Port of Baltimore closure
The US EIA has decreased its forecast for US coal exports following the collapse of the Francis Scott Key Bridge and the resulting closure of the Port of Baltimore.