DAILY: China's thermal coal market conditions signal further downturn

China's spot thermal coal prices at northern ports drifted lower on December 3, pressured by the accumulating port inventory, declining pithead prices, ample long-term contract supply and competitive pressure from cheaper imported coal. These factors may continue to weigh on the near-term market, sources noted.

On Wednesday, Mysteel assessed 5,500 kcal/kg NAR and 5,000 kcal/kg NAR grades at Yuan 809/tonne ($114.4/t) and Yuan 709/t, respectively, FOB northern ports with VAT, each down by Yuan 3/t from a day ago. The 4,500 kcal/kg NAR coal was assessed Yuan 4/t lower at Yuan 610/t. Despite lower offering