Coal prices in Tianjin fell slightly in the first week of June

According to Tianjin market operation monitoring data, in the first week of June (May 29-June 4), the average price of coal in Tianjin was 726 yuan/ton, a price drop of 0.4%. Coal prices fell into a reasonable range last week, and the decline gradually narrowed. One of the reasons is that the price of coal has been lowered, which has prompted traders to expedite their departure from the market, the scale of coal in the market has shrunk, the market position of long-term cooperative coal has strengthened, and the volatility of coal prices has weakened. Second, the coal price fell to a reasonable range of the long-term agreement price, the resistance to the decline of coal price began to increase, the decline in quotations narrowed, and at the same time, buyers' inquiries increased, and market sentiment began to improve. Third, as the temperature rises, the regional electricity load continues to rise, and downstream demand begins to improve. Affected by weak domestic and foreign demand in the short term, the spot market continues to shrink and the flexibility of coal supply decreases. If the economic growth in the second half of the year exceeds expectations or there is a regional coal shortage, coal prices are expected to usher in a new round of rise.