SGX M42F Thermal Coal - Daily Update 8 October 2020

October month-to date:

Futures volume at 77kt, Open interest at 410kt

 

Total volume since January 2020: 2,800kt

 

Physical

There was talk from suppliers of a modest uptick in Indian buying interest. A few traders said they were bullish on Chinese buying interest for Indonesian material after the holiday, although concerns remain with regards to  import quotas. Buying interest was reported at around $27.00-27.50/t FOB, basis 3,800 kc NAR, for November loading geared vessels. An offer for a November loading geared vessel was reported at $28.50/t FOB, basis 3,800 kc NAR. However, there was talk of a deal at $29.00/t FOB, basis 4,200 kc GAR, for a November loading geared vessel, although this could not be confirmed at the time of writing. An offer was heard for a gearless vessel loading in late October, early November, at $28.50/t FOB, basis 3,800 kc NAR. For December loading, a geared vessel was also reported to have been offered at $28.50/t FOB, basis 3,800 kc NAR.

 

Paper

M42, listed on SGX, was bid for October at $27.25 and offered at $27.90, while November was bid at $28.30 and offered at $28.75. A bid for December was also reported at $28.30.

 

Source: IHS Markit