* Stockpiles remain high but coal swaps firm
* Australia braces for fresh floods
LONDON Feb 2 (Reuters) – Freezing weather across much
of Europe pushed up power, gas and coal prices on Wednesday,
although no fresh trades were reported.
“It’s been one of those days when all the energy markets are
rising and coal has to follow,” one European trader said.
Coal stockpiles in Amsterdam-Rotterdam-Antwerp remain fairly
high and utilities are unlikely to need more spot coal even if
the freeze lasts for weeks, utility buyers said.
But coal swaps are likely to keep tracking oil, power and
gas and further gains will be seen in the physical market.
European prompt power prices had retreated from earlier
highs by Wednesday afternoon but weather-driven demand remained
strong.
European DES ARA prices for immediate delivery in February
have slumped below $100.00 a tonne, a steep discount to March
prices – reflecting the lack of end-user demand.
But further ahead, a resumption of Chinese imports and
potential weather-related supply disruption could also lead to a
voltile few months, traders said.
Continued…
