Saturday, March 25, 2023
HomeHeadlinesDalian coking coal hits 4-week low as traders eye Australian cargoes


To our FREE newsletter
Get all the latest maritime news delivered straight to your inbox.

Dalian coking coal hits 4-week low as traders eye Australian cargoes

Chinese coking coal futures extended losses to hit their lowest in four weeks on Wednesday, as traders kept an eye on a batch of Australian coal cargoes expected to arrive soon in top steel producer China.

Rising Chinese steel inventories also weighed on overall market sentiment, analysts said.

China is seen gradually resuming Australian coal imports, having eased an unofficial trade ban imposed in 2020, as signs of warming ties between the two countries have emerged.

Prices of the steelmaking ingredient have dropped nearly 5% since the start of the year.

The most-traded coking coal, for May delivery, on China’s Dalian Commodity Exchange, ended morning trade 4% lower at 1,788.50 yuan ($265.00) a tonne, after earlier hitting 1,787.50 yuan, its weakest since Jan. 6.

China is set to receive at least two cargoes of Australian coal in early February, Reuters reported on Monday, citing traders and ship-tracking data.

Five Australian coal cargoes were planned to be shipped initially to China and the market was “still relatively pessimistic” about the impact on prices, analysts at Zhongzhou Futures said in a note.

Coke, the processed form of coking coal, dropped 3.8% on the Dalian exchange.

Stocks held by mills was 16.1 million tonnes in mid-January, up 7.9% from the early part of the month, ING commodity strategists said in a note, citing industry data.

They added that crude steel production at major Chinese mills also edged higher during the same period.

Dalian iron ore’s most-active May contract slipped 0.4% to 869.50 yuan ($128.83) a tonne, while the steelmaking ingredient’s benchmark March contract on the Singapore Exchange was nearly flat at $127.15 a tonne.

Rebar on the Shanghai Futures Exchange fell 1.8%, hot-rolled coil dipped 2%, and wire rod shed 0.5%. Stainless steel edged up 0.1%.

Source: Reuters

Related Posts


Finance & Economy
Shipping News

Eva Birgitte Bisgaard steps down as chief commercial officer at Maersk Tankers

Eva Birgitte Bisgaard is stepping down from her role as chief commercial officer at Maersk Tankers. Christian M. Ingerslev, chief executive officer of Maersk Tankers,...

Frontline’s Fredriksen appointed to Euronav supervisory board

Belgium’s Euronav said its shareholders had overwhelmingly voted to elect John Fredriksen of peer Frontline, a major investor that pulled out of a merger...

UBS Likely to Shrink Credit Suisse’s $10 Billion Shipping Portfolio – Report

UBS Group AG will likely shrink Credit Suisse Group’s $10 billion shipping portfolio that it inherited as part of its emergency takeover on Sunday,...

Braemar: Record revenue & profitability

Braemar Plc., a provider of expert investment, chartering, and risk management advice to the shipping and energy markets, announced an update on trading...

Oldendorff Carriers announces change of leadership

Effective today, the board of OLDENDORFF CARRIERS has appointed Patrick Hutchins as the new President and CEO of the company. Patrick succeeds Peter Twiss, who...

Global Goods Trade Softening from 2022’s Record Level

International commerce soared to a record of $32 trillion in 2022, but goods trade...

New Hybrid Ferry ‘P&O Pioneer’ Docks At DP World Limassol For Bunkering

P&O Ferries’ newly commissioned Fusion Class vessel ‘P&O Pioneer’ has docked at DP World...

Baltic index gains as capesize rates rebound

The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk...

Minerva puts cost of fuel theft as high as $5.2 bil/year

The bunkering industry is losing as much $5.2 billion of fuel annually to quantity...

Baltic index logs worst day in five weeks on tepid demand for larger vessels

The Baltic Exchange’s main sea freight index, tracking rates for ships carrying dry bulk...

Drewry: Port Throughput Index Down 4.5% Year-on-Year

The Drewry Container Port Throughput Indices are a series of calendar adjusted volume growth/decline indices based on monthly throughput data for a sample of...

Port of Los Angeles moves 487,846 container units in February

The Port of Los Angeles processed 487,846 Twenty-Foot Equivalent Units (TEUs) in February, a 43% decrease from the previous February’s all-time record. “February declines were...

Piraeus Port Authority: Strong growth in 2022

PPA S.A. announced Full Year 2022 financial results, marking a consecutive year of growth with a turnover of €194.6 million compared to €154.2 million...

WLP welcomes 14 strategic Vietnamese partners to its growing network of international traders

World Logistics Passport (WLP), a Dubai-led global initiative designed to smooth the flow of world trade, has welcomed 14 Vietnamese partners to its global...

Port of Hedland February Iron Ore Exports 2% Down

Pilbara Ports Authority has delivered a total monthly throughput of 54.8 million tonnes (Mt) for February 2023. This throughput was a five per cent increase...