InvestorQ : Why has Coal India stock surged so sharply in recent days?
vidhya Laxmi made post

Why has Coal India stock surged so sharply in recent days?

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sarah Leo answered.
2 months ago
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This is the kind of rallies you rarely get to see on Coal India stock. The stock surged 7% to Rs.198 on Thursday and it has rallied 32% in last 4 days. All this has happened amidst a market that is volatile with a strong downward bias. The crisis in Russia is the reason as Russia is not only the largest producers of oil but also of coal and a host of other minerals.

As a result, the global coal prices spiked sharply. Coal prices are ruling at their highest levels since the global financial crisis of 2008. In most of the coal e-auctions, the prices are going at 100% premium to the rates agreed in the Fuel Supply Agreements (FSA). Not surprisingly, most of the large brokers have already upgraded Coal India.

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