EURO COAL-Physical prices fall on weak outlook, aggressive sales

martes 20 de mayo de 2014 11:48 GYT
 

* ARA coal for June delivery down $0.65 at $72.10/tonne

* Weak energy demand, oversupply continue to weigh on prices

LONDON May 20 (Reuters) - European physical coal prices declined on Tuesday as a bearish outlook for demand and oversupply weighed on the market, with one broker also citing aggressive sales by a trading house.

Cargoes for delivery in June to Amsterdam, Rotterdam and Antwerp (ARA) were trading at $72.10 a tonne, around 65 cents below their last close, according to the GLOBALcoal trading platform.

"ARA prices are under pressure from one trading house selling aggressively," a coal broker said.

Weak energy demand due to warm temperatures in Europe and ample supplies of coal continue to weigh on the market, traders added.

Coal prices have lost more than 40 percent of their value in the last three years due to oversupply. There is also weak demand for coal in Europe and Asia.

On Tuesday, Weather Services International predicted a warm, dry summer for northern Europe, which should reduce demand for energy from June to August.

Meanwhile, in Turkey, the main labour union in Soma, which was hit by the nation's worst mining disaster last week, called on thousands of workers to down tools on Tuesday at mines run by the same operator until the sites have been properly inspected. (Reporting by Nina Chestney; Editing by Dale Hudson)