The price of coal has fallen to a 4-year low, but everything can change

The price of coal has fallen to a 4-year low
The cost of coal collapsed to the lowest level since May 2021. This is due to two factors: a mild winter and a global oversupply of coal on the market, 24 Kanal informs with reference to Bloomberg.

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Futures on Australian coal, which is a standard for Asia, fluctuates at the level of 100 dollars per ton. Therefore, investments in this sector are rapidly decreasing in many countries of the world. In particular, banks and shareholders increasingly refuse to approve the allocation of funds for such projects.

At the same time, the situation may change significantly in the future. The fact is that the demand for coal continues to grow in China and India. In addition, even developed countries are again paying attention to coal, since it is necessary against the background of the boom in artificial intelligence.

Pay attention! At the time of writing, coal is trading at $93.25 per ton, according to Markets Insider. Since the beginning of the year, coal has fallen in price by more than 11%, and in the last month – by 9.7%.

Source: https://finance.24tv.ua