SGX M42F Thermal Coal - Daily Update 24 April 2020

7kt traded in Friday T Session

• May-20 traded 5kt @ $25.50

• May-20 traded 2kt @ $25

April month-to date:

Futures volume at 27kt, Open interest at 111kt

 

Total volume since January 2020: 984kt

Physical

Desperately weak global demand for thermal coal continued to underpin declining Indonesian coal prices for yet another week. Low-rank coal traded at $25.40-26.30/t FOB, basis 3,800 kc NAR, and at $25.25-25.50/t FOB, basis 3,700 kc NAR, all for geared vessels loading in May. A week ago, May trades settled at $27.50/t FOB, basis 3,800 kc NAR, also for a geared vessel. "We are looking at trades below cost for some of us here. It's really bad," said a South Kalimantan producer.

Paper

M42 traded for May via SGX at $25.50 and $25.00/t. Markets were reported bid at $25.00 for May and offered at $26.00, while June was bid at $25,00 and offered at $27.25. Further out, Q3 was bid at $25.00.

Source: IHS McCloskey