SGX M42F Thermal Coal - Daily Update 30 September 2020

18kt traded in Wednesday T session

▪ Q4-20 traded 18kt @ $27.40

 

September month-to date:

Futures volume at 344kt, Open interest at 398kt

 

Total volume since January 2020: 2,723kt

 

Physical

October loading cargoes of Indonesian low-rank material were still available, with a deal heard at around $26.00/t FOB, basis 3,800 kc NAR, for a geared vessel. A market was reported for a November loading geared vessel bid at $25.00/t FOB, basis 3,800 kc NAR, with an offer at $28.75/t FOB, same basis. A December loading geared vessel was bid at $25.80/t FOB, basis 3,800 kc NAR, and offered at $28.85/t FOB, same basis. Elsewhere, a deal was said to have concluded at around $27.00-27.50/t FOB, basis 3,800 kc NAR, for a November loading geared vessel, although this could not be confirmed at the time of writing. A bid was also heard at $27.50/t FOB, basis 3,800 kc NAR, for a November loading geared vessel.

 

Paper

M42 traded for Q4-20 at $27.40 for 6,000 t a month, resulting in Q4-20's volume at 973,000 t becoming the most traded quarter in terms of volume since the derivative was launched in the second quarter of 2018.

Earlier in the day, October was bid at $26.35 and offered at $27.00, while November was bid at $27.70 and offered at $28.10. December was bid at $28.40 and offered at $29.15. A bid for Q4-20 was reported at $27.40 against an offer at $28.10, while Q1-21 was bid at $28.00. A spread for November vs December was bid at M42 minus $1.30 and offered at minus $0.70.

 

Source: IHS Markit