WEEKLY: China's thermal coal price slumps to ease this week

China's thermal coal market enters the new week under persistent weakness after prices kept losing steam during December 15-19. A combination of high port stocks, unseasonably warm weather, strong domestic supply, and competitive imports is likely to cap any price rebound.

However, the pace of the downturn is likely to slow this week, as several supportive factors have begun to emerge, Mysteel Global notes. At China's northern ports, high stockpiles continued to dampen sentiment last week, as rail inflows – despite being lower than a week ago – still exceeded outflows.