SGX M42F Thermal Coal - Daily Update 7 October 2020

15kt traded in Wednesday T session

    Oct-20 traded 10kt @ $27.75

    Nov-20 traded 5kt @ $28.60

October month-to date:

Futures volume at 77kt, Open interest at 410kt

Total volume since January 2020: 2,800kt

 

Physical

Prices were said to be firming still for Indonesian material, although some miners admitted concerns about what they perceive as position taking for November and December by traders. While happy that prices were higher, they fear much of the buying is still dependent on import quotas in China being available for the closing months of the year - something that no-one has confidence in. For low-rank, an October loading geared vessel was understood to have traded at $27.00/t FOB, basis 3,800 kc NAR. An offer for a November loading geared vessel was reported at $28.25/t FOB, basis 3,800 kc NAR, and a bid was also reported at $27.00/t FOB, basis 3,800 kc NAR, for the same loading month. On an index-linked basis, an offer was heard at flat to the average of the M42 and ICI4 indices for a geared vessel of 3,800 kc NAR material.

 

Paper

M42 traded via SGX at $27.75 for October and $28.60 for November, both up on their previous traded levels. Later in the day, October was bid at $27.00 and offered at $27.95, while November was bid at $28.30 and offered at $28.75.

 

Source: IHS Markit