HK Stock Market Move | Coal stocks broadly decline as thermal coal port prices show signs of retreat; institutions say tight market supply pattern remains unchanged.

Coal stocks broadly decline. As of press time, YANCOAL AUS (03668) fell 6.37% to HK$34.42; CHINA QINFA (00866) fell 4.74% to HK$2.01; SHOUGANG RES (00639) fell 4.93% to HK$2.895; Yankuang Energy Group (01171) fell 3.7% to HK$12.5. On the news front, thermal coal port prices have recently shown signs of retreat, while coal prices have been mixed. Data from Coal Resource Network shows that as of September 11, the market price of Q5500 thermal coal at Qinhuangdao Port closed at 984 yuan/ton, up 42 yuan/ton week-on-week, but down 1 yuan/ton from September 11. On the production area side, according to Coal Resource Network data, Q5500 in Datong, Shanxi closed at 855 yuan/ton, up 50 yuan/ton week-on-week; the Q5800 index in Yulin, Shaanxi closed at 882 yuan/ton, down 127 yuan/ton week-on-week. Guolian Minsheng Securities believes that this round of decline is more a correction of earlier excessive gains, and the tight market supply pattern remains unchanged. On the supply side, high-pressure safety supervision continues, and production area supply remains constrained. On the demand side, although daily coal consumption at power plants has declined somewhat, chemical coal use is relatively strong as operating rates rise with the "Golden September," and coupled with renewed tensions in the Middle East and rising chemical product prices, coal consumption demand remains rigid, so the decline in demand is relatively limited.