Coking coal retreats on profit-taking activities
The most-traded coking coal on China's Dalian Commodity Exchange (DCE) slid by 7% to 1,150 yuan ($160.43) a metric ton, as of 0257 GMT. Coke also fell by nearly 6%.
The Dalian exchange's announcement came after the price of coking coal rallied by 33% in the past week, fuelled by growing expectations of a supply reduction after the National Energy Administration ordered inspections at mines to check for excess production. 'Speculative sentiment receded and some investors liquidated long positions to avert risks after the Dalian exchange imposed restrictions on positions holding, thus resulting in a steep price fall,' said Zhou Tao, an analyst at broker Galaxy Futures. Prices of key steelmaking ingredient iron ore also softened, albeit in a tight range, as investors awaited clear clues from the upcoming high-level Politburo meeting by end-July and the fresh trade talks between the world's two largest economies.
The most-traded September iron ore contract traded 0.56% lower at 795.5 yuan a ton, and the benchmark September iron ore on the Singapore Exchange was 0.47% lower at $102.8 a ton. Steel benchmarks on the Shanghai Futures Exchange languished. Rebar shed 1.27%, hot-rolled coil lost 1.41%, wire rod slipped 2.9% and stainless steel dipped 0.62%.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
8 hours ago
- Business Recorder
Pakistan rupee snaps two-week rally against US dollar
Rupee's Performance Against US Dollar Since 04 March 2025 After ten consecutive sessions of positive momentum, the Pakistani rupee registered a decline against the US dollar, depreciating 0.04% in the inter-bank market on Wednesday. At close, the currency settled at 282.67, a loss of Re0.10. On Tuesday, the currency settled at 282.57. Internationally, the US dollar was rangebound on Wednesday, with investors choosing to stay on the sidelines ahead of US President Donald Trump's pick to fill a coming vacancy on the Federal Reserve's Board of Governors. Trump said on Tuesday he will decide on a nominee by the end of the week and had separately narrowed the possible replacements for Fed Chair Jerome Powell to a short list of four. Data out the same day also showed the US services sector activity unexpectedly flatlined in July even as input costs climbed by the most in nearly three years, underscoring the hit from Trump's tariffs on the economy, which has also begun to bite corporate earnings. Still, those did little to sway the dollar, as traders were hesitant to take on fresh positions ahead of news on who would fill the Fed board vacancy. Concerns are mounting that partisan loyalty would invade the staid world of central bank policy. The dollar was last little changed at 147.54 yen, while the euro ticked up 0.02% to $1.5760. Sterling last bought $1.3304. Against a basket of currencies, the dollar was last at 98.76, still some distance away from its peak of 100.25 hit on Friday before the nonfarm payrolls figures. Traders continue to price in an over 90% chance of a Fed cut in September, with about 58 basis points worth of easing expected by the year-end. Oil prices, a key indicator of currency parity, rebounded from the previous session's five-week low on Wednesday, as traders focused on US President Donald Trump threatening India with higher tariffs over its Russian crude purchases, and a larger-than-expected US crude draw. Brent crude futures gained $1.11, or 1.6%, to $68.75 a barrel by 1119 GMT, while US West Texas Intermediate crude was up $1.12, or 1.7%, at $66.28 a barrel. Inter-bank market rates for dollar on Wednesday BID Rs 282.67 OFFER Rs 282.87 Open-market movement In the open market, the PKR gained 12 paise for buying and remained unchanged for selling against USD, closing at 284.22 and 285.15, respectively. Against Euro, the PKR lost 62 paise for buying and 81 paise for selling, closing at 328.53 and 330.45, respectively. Against UAE Dirham, the PKR gained 3 paise for buying and lost 5 paise for selling, closing at 77.36 and 77.65, respectively. Against Saudi Riyal, the PKR gained 1 paisa for buying and remained unchanged for selling, closing at 75.65 and 75.95, respectively. Open-market rates for dollar on Wednesday BID Rs 284.22 OFFER Rs 285.15
Business Recorder
9 hours ago
- Business Recorder
Oil rebounds on Trump threats on Russian crude buyers
LONDON: Oil prices rebounded from the previous session's five-week low on Wednesday, as traders focused on U.S. President Donald Trump threatening India with higher tariffs over its Russian crude purchases, and a larger-than-expected U.S. crude draw. Brent crude futures gained $1.11, or 1.6%, to $68.75 a barrel by 1119 GMT, while U.S. West Texas Intermediate crude was up $1.12, or 1.7%, at $66.28 a barrel. Both oil contracts fell by more than $1 on Tuesday to settle at their lowest in five weeks, marking a fourth session of losses. 'Prices bounced up on the potential higher tariffs on India but the market is waiting for some sort of a formal implementation as well as which elements in the market are to be affected,' said Rystad analyst Janiv Shah. Trump renewed threats to impose higher import tariffs on Indian goods over the country's buying of Russian energy. India, along with China, is a major buyer of Russian oil. 'Expectations appear that India may reduce its buying of Russian crude, but I can't see them doing so entirely as they have been making supernormal profits on buying cheap Russian crude,' said Ashley Kelty, an analyst at Panmure Liberum. U.S. envoy Steve Witkoff arrived in Moscow on Wednesday on a last-minute mission to seek a breakthrough in the Ukraine war, two days before the expiry of a deadline set by Trump for Russia to agree to peace or face new sanctions. Rystad's Shah said that although the meeting could lead to some concessions, a planned supply increase from the OPEC+ group would offset a potential decline in Russian oil supply. The market was also finding support from a fall in U.S. crude inventories last week, analysts said, as sources citing American Petroleum Institute figures said on Tuesday that stockpiles had fallen by 4.2 million barrels. That compares with a Reuters poll estimate of a 600,000 barrels draw for the week to August 1. 'For all that has been thrown the oil market's way geopolitically, Brent futures have struggled to even hold the floor at $70 a barrel for any convincing length of time,' said independent analyst Gaurav Sharma. Brent is down 9.4% so far this year, which Sharma said was due to the market remaining well supplied at a time of uncertain demand. That, along with a cloudy macro-economic outlook, made the case for any lasting bullishness in crude unlikely, he added.
Business Recorder
10 hours ago
- Business Recorder
Copper lifted by rate cut hopes, Chile supply worries
LONDON: Copper prices edged higher on Wednesday, supported by hopes for U.S. rate cuts and persistent supply concerns following the suspension of a mine in top producer Chile. Three-month copper on the London Metal Exchange was up 0.4% at $9,677 per metric ton by 0930 GMT after slipping by 0.6% in the previous session. 'A weaker dollar as Fed rate cuts bets intensify is buoying metals this morning,' said Ewa Manthey, commodities strategist at ING. Following weak U.S. jobs data on Friday, traders are pricing in an 86.5% chance of a Fed rate cut in September, with about 56 basis points worth of easing expected by year-end. Investors are also eyeing developments in Chile, the world's largest copper producer, after the collapse at its El Teniente copper mine that killed six people due to a tremor last week. Miner Codelco must produce four reports before it can restart its underground operations at the mine, which produced 356,000 tons of copper last year. Copper climbs on supply disruptions after Chile tragedy 'It has been a mixed picture. Copper has been holding well throughout this week. Of course, the Codelco news got the micro story bringing some support to prices,' said research analyst Yuting Du at broker Marex. At the same time, some investors are placing bets on lower prices through puts in the option market, Du added. The most-traded copper contract on the Shanghai Futures Exchange lost 0.3% to 78,280 yuan ($10,889.01) a ton. Also helping the market were hopes for easing in a U.S.-China trade war after President Donald Trump said they were close to a trade deal with China, the world's biggest metals consumer. Among other metals, LME aluminium rose 0.6% to $2,577 a ton, zinc climbed 0.5% to $2,773, nickel advanced 0.6% to $15,120, lead gained 1% to $1,993.50 and tin added 0.7% to $33,485.
