Will coal plummet next week?
This week, the coal market price in the whole province has fallen for five consecutive weeks. August is still in the critical period of peak summer, and the demand for coal is rising. The main reasons for the decline in coal prices are: First, under the joint action of a series of policies, such as ensuring supply, stabilizing prices, strengthening contract performance supervision by China-Singapore Association, and vigorously implementing energy-saving measures in the province, the coal market is running smoothly and the coal price is gradually returning to a clear and reasonable price level; Second, the coal price in this province is relatively high in the whole country, and there is a large room for coal price decline; Third, the demand for industrial coal is weak. Due to many uncertain factors in economic recovery, the output of key coal consumption industries such as steel, cement and manufacturing declined, and the demand for coal weakened. For the later coal price trend, it is mainly affected by the following two factors. First, under the background of high temperature and little rain, the coal industry is in the peak consumption season, the compensation effect of hydropower on thermal power is weak, the coal demand will remain strong, and the terminal coal consumption is at a historical high level; Second, the increment of coal supply is limited. On August 1 1, the EU's coal sanctions against Russia came into effect, which is expected to cause a global coal gap of 3.3%. It is difficult for imported coal to have a big increase in the short term. To sum up, at present, the coal market in the province is in a tight balance between supply and demand, and coal price supervision will not be relaxed. It is expected that the coal market price in the whole province will be in a dilemma next week, and the overall situation will be in a narrow range.