The rally in thermal coal prices was primarily driven by emerging buying interest from India, as well as potential industrial action from Colombia and Newcastle, according to RBS Capital Markets.
Metallurgical coal prices were generally flat this week, with the exception of semi-soft coal prices, which declined 1.7%.
“Liquidity has picked up in the spot market this week, but market sentiment was mixed, with some traders optimistic about steel prices, and steel-makers cautious about the near-term outlook,” RBS Capital Markets said in a report.
China's crude steel production reached 64.66 million tonnes – down 3.5% month on month, but up 4.6% year on year.
Average daily crude steel output decreased marginally to 2.155Mt per day, down 0.3% from May, according to RBS.
