Euro Coal Dips on Weak Spring Demand
European physical coal prices dipped on Tuesday as mild spring time demand clashed with healthy supplies and high stock levels.
Cargos for delivery in June to Amsterdam, Rotterdam and Antwerp (ARA) traded at $74.60 a metric ton on the GlobalCOAL platform on Tuesday afternoon, down $0.30 from its previous settlement.
European coal prices are feeling downward pressure because of mild weather and high stocks, although the Ukraine crisis is still commanding a little risk premium, one coal trader said.
"South African coal prices received support just above $75 a metric ton today after slightly bullish data from its Richards Bay port," he added.
South Africa's Richard's Bay Coal Terminal (RBCT) exported 5.5 million metric tons of coal in April, lower than the 6.9 million metric tons in March.
Traders said that the lower exports were a result of a spillage in the port last month that had delayed some exports.
The country's coal stocks, which mostly end up in power plants in Asia and Europe, stood at 4.2 million metric tons at the end of April.
In Australia, traders said that the market was testing support in the low $70s following record production in the first quarter of the year and stalling Chinese demand.
(Reporting by Henning Gloystein, editing by William Hardy)