The price of seaborne hard
coking* coal fell on Wednesday owing to a lack of global spot demand, pushing
miners to reduce their offers. Low-volatile hard coking coal (HCC) assessment
fell by $3/tonne to $272.50/t fob. Apart from a rally of $2 on Monday the price
has continued falling for over a week.
According to trading sources, the depressed coke market in India has meant that
small buyers there were unable to pay current prices, making Chinese mills the
most likely destination for premium coking coal.
One Hong Kong trader said Chinese traders are “taking positions ahead of
the winter,” adding that this interest could be lending some support to the
seaborne market. One Australian miner said that Chinese pre-winter restocking
would pick up in time for November and December laycans.
Seaborne Hard coking coal- The
seaborne hard coking coal market is defined by the global nature of
international steel-making, the relative concentration of quality metallurgical
coal deposits in Australia, Canada and the United States and the relative low
cost of seaborne transportation.
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