Two reforms power coal, metal uptrend

Overcapacity reduction and optimization of industrial structure in China are likely to boost not only output, product prices and profits of efficient listed coal and metal companies but their shares, experts said.

In the A-share market, stocks of listed companies in the coal, steel and nonferrous metal sectors have risen in recent days.

Higher product prices have improved companies' financial performance, especially of those in cyclical industries like coal, iron and steel, and nonferrous metals.