SGX M42F Thermal Coal - Daily Update 3 February 2021

15kt traded in the Tuesday T+1 session

▪ Feb-21 traded 10kt @ $36.25

▪ Feb-21 traded 5kt @ $36.00

 

15kt traded in the Wednesday T session

▪ Feb-21 traded 5kt @ $37.35

▪ Feb-21 traded 5kt @ $37.00

▪ Feb-21 traded 5kt @ $36.90

 

February month-to date:

Futures Volume at 72kt, Open Interest at 782kt

 

Total volume since January 2021: 1,511kt

 

Physical

Indonesian prices remained under pressure, as Chinese buying interest continued to erode ahead of the Lunar New Year and improvements in domestic supply. Trades were understood to have concluded at $42.50-43.00/t FOB, basis 3,800 kc NAR, for February loading geared vessels. There was talk of a Panamax transacting at $39.00/t FOB, basis 3,800 kc NAR, for March loading, although this could not be confirmed at the time of writing. However, a generator in China was understood to have awarded a tender at a price equivalent to around $40.00/t FOB, basis 3,800 kc NAR, for March arrival geared vessels.

 

Paper

M42 traded at $36.90-37.35, which was up on a deal done the previous evening at $36.00. During the day, February was heard bid at $36.25 and offered at $37.25. Things were getting wider further out, with the market unsure on direction, with March bid at $35.00 and offered at $37.75. A spread for February vs March was bid at M42 minus $0.50 and offered at plus $2.00, while March vs April was bid at plus $0.70 and offered at plus $1.50.

 

Source: IHS Markit.