BEHIND THE COAL PRICE: SEASONALITY

One of the most common factors in the sector of power&heat producers is seasonality. Heat&power plants use the coal mostly between October and April, which means the seasonal purchases (all the tenders and negotiations processes) starts around March and ends around July.

During that period prices are likely to slightly decrease as the traders compete between each others to win the tenders. Figure bellow presents this tendency:

seasonality

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