HK Stock Market Move | Coal stocks rise in the morning session; overseas coal market supply and demand remain tight; institutions say they are bullish on the coal market in the fourth quarter.

Coal stocks rose in the morning session. As of press time, China Shenhua Energy (01088) gained 3.85% to HK$43.72; China Coal Energy (01898) rose 3.55% to HK$10.51; KINETIC DEV (01277) gained 2.46% to HK$1.875; Yankuang Energy Group (01171) rose 1.76% to HK$11.59. On the news front, coal inventories at Indian power plants have fallen to near a five-year low. Plants accounting for more than 40% of the country's coal-fired power generation capacity currently hold coal reserves sufficient for only four days or less, raising the risk of widespread blackouts. In addition, Indonesia, the world's largest coal exporter, saw its monthly coal export volume hit a five-year low. Zheshang said in a research report that coal prices will continue to fluctuate at high levels, and it is bullish on the coal market in the fourth quarter. With a tight supply-demand balance and value revaluation underway, the coal sector is ushering in a historic investment opportunity. Guotai Haitong said that policies to stabilize production and ensure supply have been further strengthened, but the release of short-term supply increments may be relatively limited.