* Two Nov DES ARA cargoes trade at $93, $92.80
* Coal prices near floor – Chubu Energy Trading head
LONDON, Sept 6 (Reuters) – Physical coal prices in Europe
crept higher by 20-60 cents a tonne on Thursday.
Few trades were reported and those at levels barely changed
from earlier this week, traders and utilities said.
“Prices rose slightly in early trade but by the afternoon,
gas and power had weakened and coal lost some of the morning’s
gains,” one European trader said.
Two cargoes for delivery to Europe in November traded at $93
and $92.80 a tonne, but further falls are seen as likely.
Oil’s rally late on Thursday towards $115 a barrel gave some
support to coal prices, traders said.
Oil rose after the head of the European Central bank
announced a new bond buying programme in an effort to solve the
euro zone debt crisis.
But a further fall of several dollars per tonne in benchmark
coal prices cannot be ruled out because there is more coal being
offered than there is demand for it.
Continued…
