Jinwu Financial News | Coal stocks showed strong performance. Mongolia Energy (00276) rose 12.28%, South Gobi (01878) rose 3.6%, Mongolian coking coal (00975) rose 2.72%, China Coal Energy (01898) rose 2.65%, and Yidazong (01733) rose 1.76%.
According to the news, Guosheng Securities said that in terms of thermal coal, it believes that before “reaching the peak of summer,” coal prices were prone to rising and falling because power plants faced seasonal demand for stock replenishment, and supply had not fully recovered, and the accumulation of stocks was not as high as the same period in previous years.
Furthermore, in terms of coking coal, the central bank announced that it plans to establish 300 billion yuan of affordable housing reloans, and many other measures such as “lowering down payments, abolishing the lower interest rate limit, and lowering interest rates on provident fund loans” to stimulate the recovery of the real estate market. Against the backdrop of clearly warming macroeconomic expectations, it is possible to be more optimistic about coking coal prices. Once demand for steel starts a second time, coking coal prices will continue to reach new highs.