Coal boom already topping out?

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Over the past few months, as iron ore has peaked and dropped, coal has gone the other way, providing some offset to Australia’s falling terms of trade.

Thermal coal has been trading at a very high price near $170 and coking coal at high prices above $200.

However, there are signs already that both booms are going to come off quite quickly.

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About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.