Indonesian Coal Miners Advance as Prices Surge: Jakarta Mover
PT United Tractors, Indonesia’s largest heavy equipment seller, and PT Bumi Resources, the nation’s biggest thermal-coal exporter, led advances in coal- mining companies after the benchmark price for the fuel soared to a six-month high.
Bumi surged 7 percent to 610 rupiah, the most since Sept. 27, and United Tractors, a unit of PT Astra International, jumped 9.8 percent to 19,000 rupiah, the steepest gain since Nov. 19, 2010. The stocks were among the best performers on the Jakarta Composite Index (JCI), which increased 0.5 percent.
Power-station coal price at Australia’s Newcastle port, the benchmark for Asian contracts, rose 4.1 percent to $90.65 a ton in the week ended Dec. 7, according to IHS McCloskey, a Petersfield, U.K.-based provider of coal data. The new price is the highest since June 1, data compiled by Bloomberg show. Indonesia, the largest exporter of thermal coal, raised its benchmark cost on Dec. 7 for the first time in three months.
“Thermal-coal prices will edge higher from 2012’s lows as we head into the northern winter,” UBS AG said in a note yesterday. “We expect prices to lift towards $105 per ton.”
United Tractors was also the second-best performer in the MSCI Emerging Market Index (MXEF) today, with volumes nearly twice the stock’s three-month daily average.
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