Coals to Newcastle.10 Aug 2023 17:31
Newcastle coal futures traded near a 2-year low of $130 per tonne, driven by concerns of oversupply from India and Indonesia, despite rising demand from China. In June, China's daily coal production rebounded to an average of 13 million metric tons, up from a 6-month low of 12.43 million metric tons in May, as a heatwave boosted coal consumption for electricity generation. Also, some mines in Inner Mongolia might resume operations after being shut down since March for safety improvement measures, potentially providing a further boost to coal production in the coming months. China's peak summer power demand typically starts in late June and lasts for two months. With the heatwave ongoing and energy requirements remaining high, coal consumption for electricity generation is anticipated to remain robust during the summer months.
$130 Jun...now $142 and climbing.