* Oct S.African bids rise $1/T to $84.00
* Prompt DES ARA still looks weak at $88/T offered
* Slight revival of Indian buying interest seen
LONDON, Sept 14 (Reuters) – Prompt coal prices rose by $1.00
a tonne on Friday to $84-$84.50 FOB Richards Bay on a
expectations that a third round of U.S. central bank stimulus
will boost commodities, a slight revival of Indian buying
interest and a general feeling that the fall near two-year lows
this week was overdone.
Commodity traders in general are more cautious than
optimistic on the prospects for price gains as a result of the
third round of QE but any rise in oil would drag coal with it,
after a lag, traders said.
Markets showed sizeable gains months, rather than weeks,
after QE1 and QE2.
Prompt South African prices traded down to $82.50 for an
almost immediately loading small parcel on Thursday,
uncomfortably near the two-year low of $81.65 reached in June
for some of the country’s higher-cost miners.
The trade at $82.50 reflected the usual discount for
extremely prompt cargoes – October bids and offers on Thursday
were at $83.00-$83.50/T.
But prices were bid higher by $1.00 on Friday to
$84.00-$84.50 by traders and utilities.
Continued…
