EUR 8.53 For Business Accounts Only

Richard Bay Coal Reaches USD 102/MT, Growing 3% WoW

During the outgoing week, Richard Bay’s coal price reached USD 102.25/MT ahead of higher expected demand from India and China in wintertime as production constraints force them to step up imports. The average cement price in Northern region increased by PKR 11/bag during the outgoing week due to hike in cement price in Peshawar and Bannu. However, prices in South increased by PKR 2/bag only.

During the outgoing week, Arab Light and Brent Crude oil prices traded near USD 85/bbl to hover near four year high as investors remained skeptical about the ability of Saudi Arabia and other producers to pump up more and offset falling Iranian export. However, prices declined slightly on last day of the week as prospect of increased production from Saudi Arabia and Russia prompted profit-taking. Arab Light Crude and Brent Crude both closed at USD 84.7/bbl and USD 84.2/bbl respectively. However, WTI Crude closed at 74.3/bbl during the outgoing week.

The Urea Price in the Middle East gained further 5% WoW to close at USD 325/MT, whereas price in local market remained almost stable. However, for the current week, EFERT and FFC both increased Urea dealer transfer prices by PKR 130/bag to pass on the impact of gas price hike.

Local cotton price during the outgoing week declined further by PKR 200/37kg due to modest trading as investors foresee less potential of improvement in the near future for textile products. There is also news that the government may consider removing 5% GST on cotton imports.