SGX M42F Thermal Coal - Daily Update 11 December 2020

5kt traded in the Friday T session

    Mar-21 traded 5kt @ $39.50

15kt traded in the Friday T+1 session

    Feb-21 traded 5kt @ $39.50

    Feb-21 traded 10kt @ $39.25

December month-to date:

Futures Volume 160kt, Open interest at 455kt

Total volume since January 2020: 3,839kt

 

Physical

Indonesian coal prices enjoyed another week of rally with demand evident for both low-rank and sub-bituminous material as the monsoon tightened supply. Suppliers received many inquiries for prompt loading material but few were holding on to any cargo. January loading geared vessels transacted as high as $37.50/t FOB, basis 3,800 kc NAR, for material out of East Kalimantan. This was up sharply on the week from $33.00-34.00/t FOB, basis 4,200 kc GAR. A February loading geared vessel of standard spec coal traded at $35.50/t FOB, basis 3,800 kc NAR. Last week, the bid-offer gap for February markets was wide with bids heard at $32.50-33.40/t FOB, basis 3,800 kc NAR, against offers at $34.40-34.80/t FOB, same basis, for geared vessels. A cross loading January/February laycan of low sulphur material traded at $36.40/t FOB, basis 4,200 kc GAR.

 

Paper

Asian futures prices settled at far higher levels on the week in line with physical prices rallying. January M42 traded via SGX at $35.90-38.00/t, jumping from traded levels last week at $34.00-34.45/t. Deals for M42 concluded at $38.50/t for February and at $38.50-39.50/t for March. On Friday night, deals were concluded at $39.25-39.50 for February and March.

 

 

Source: IHS Markit