Dalian coke climbs to 7-year high amid output curbs
Chinese coke futures surged nearly 4 percent to their highest in seven years on Thursday amid worries China’s push to curb output as part of its anti-pollution campaign would tighten supply of the steelmaking raw material.
The rally in coke - the processed form of coking coal - followed a recent surge in steel prices to six-year peaks. China’s smog war has seen its cities restricting industrial production this year, including of steel and coke, ahead of tighter curbs this winter.
The most-traded January coke on the Dalian Commodity Exchange closed up 3.6 percent at 2,565 yuan ($371) a tonne, just off the day’s peak of 2,567 yuan, its strongest level since August 2011.
