SGX M42F Thermal Coal - Daily Update 14 October 2020

12kt traded in Wednesday T session

    Q4-20 traded 6kt @ $29.50

    Q4-20 traded 6kt @ $29.40

2kt traded in Wednesday T+1 session

    Dec-20 traded 2kt @ $30.50

October month-to date:

Futures volume at 123kt, Open interest at 434kt

Total volume since January 2020: 2,846kt

 

Physical

Several major producers have admitted to having little to no spot material to sell until the end of the year as heavier rainfall puts pressure on operations. This was echoed by some Chinese traders, who said they were struggling to get hold of cargoes, especially for low-rank material. For low-rank, offers were reported at $31.00/t FOB, basis 3,800 kc NAR, for a late October loading Panamax, $29.50/t FOB, same basis, for a late October, early November loading Panamax and $29.00/t FOB, same basis, for a second half of November loading Panamax. A deal done earlier in the week was said to have been concluded at $29.00/t FOB, basis 3,800 kc NAR, for an October loading Panamax. Later on, a deal for a November loading gearless vessel was said to have concluded at $30.50/t FOB, basis 3,800 kc NAR. For geared vessels, a market was reported bid at $27.70/t FOB, basis 3,800 kc NAR, against an offer at $29.10/t FOB, same basis, for November loading. For December loading, a geared vessel was heard bid at $29.00/t FOB, basis 3,800 kc NAR.

 

Paper

M42 traded via SGX for Q4-20 at $29.40 and $29.50, up from the $29.00 level Q4-20 traded at the day before. Later in the day, October was bid at $28.00 and offered at $28.50, while November was bid at $29.10. Q4-20 was bid at $29.00 and offered at $29.50. December traded at $30.50 later in the evening session.

 

 

Source: IHS Markit