SMM

[SMM Newsflash: Spot Supply Remains Ample, 10th Round of Coke Price Cuts May Be Implemented, Coking Coal and Coke Prices Fall for Two Consecutive Days] Spot supply remains ample, while demand recovery is relatively slow. The 10th round of coke price cuts may be implemented, and no new significant favourable macro front has emerged to boost the market. Coking coal and coke prices have declined for two consecutive trading days. As of the close of the daytime session on February 25, coking coal fell by 2.47% to 1,085 yuan/mt, and coke fell by 2.25% to 1,672 yuan/mt. On the fundamentals side: With most coal mines having resumed normal production, coking coal supply remains at a high level, and total coal arrivals at ports increased MoM. The ample supply has put pressure on coking coal prices. Most coke producers' profits remain at the break-even level, having little impact on production. Coke producers' operating rates remain high, but sales pressure is significant, with some producers experiencing noticeable inventory buildup. The oversupply of coke has exerted pressure on coke prices.