SGX M42F Thermal Coal - Daily Update 21 December 2020

25kt traded in the Monday T session

 

• Jan-21 traded 5kt @ $43.60

• Jan-21 traded 10kt @ $43.50

• Mar-21 traded 10kt @ $40.10

 

December month-to date:

Futures Volume at a record 725kt, Open interest at a record 796kt

 

Total volume since January 2020: 4,404kt

 

Physical

Heavy rains are understood to be persisting over recent days, although logistics were said to be holding up well. Bid-offer spreads were wide at the start of the week although support from last week's rally was said to still be present. Deals on Friday were reported as high at $45.00/t FOB, basis 3,800 kc NAR, for a January loading geared vessel, with one Chinese participant suggesting today that prices could rise further this week. An offer was reported at $45.00/t FOB, basis 3,800 NAR, for a February loading Panamax. Meanwhile, a geared vessel loading in the same month was heard bid at $38.50/t FOB, basis 3,800 NAR.

 

Paper

M42 traded at $43.50-43.60 for January, up from 41.80 where it last traded last week. March also traded at $40.10 which was consistent with where it was transacting on Friday. Earlier in the day, M42 was bid for December at $38.25 and offered at $40.00, while January was bid at $42.50. Further out, February was bid at $42.60 and offered at $43.50, while March was offered at $41.00. Offers were also reported at $40.25 for April, and $41.00 for both May and June. Spreads for February vs March were heard bid a M42 plus $1.00 and offered at plus $25.0, while March vs April was bid at plus $1.15 and offered at $2.20.

 

Source: IHS Markit