Market overview from globalCoal for April 27

A very quiet end to the week saw no reported fixed price physical deals, while paper markets dipped lower amid sparse trading. July DES was best seen 94.50/95.00/t DES AR, fairly unchanged from yesterday's markings, while June RB1 was bid just five cents higher than yesterday. On the paper side, Cal 13 contracts lost ground across all hubs, with API2 down around $1.00/t, and API4 off nearer $0.80/t. Oil followed suit, with front month Brent down $0.79/bbl near close of play to sit at $119.13/bbl.

Despite the price dip after Beijing Coaltrans, Chinese buyers remains very cautious in taking up spot cargoes as the market could soften further. According to market participants, stockpiles at Qinhuangdao could start to build up once Daqin railway resumes normal operation soon, putting more pressure on prices. Bids for prompt Australian high ash 5500NAR (23-24% ash) are currently around $87-88/mt FOB but a deal was heard concluded at $104/mt CFR Sth China for a panamax cargo (~20% ash).

globalCoal trades this week

	Product	Expiry	Price	Volume	Origin	Delivery Point	EFP
23/04/2012	Phys API#2 Index (DES)	Q3'12	-$ 3.10	150,000	ACPRS	Ams/Rot
23/04/2012	SWAP NEWC Index	Q1'13	$ 109.25	15,000
23/04/2012	SWAP NEWC Index	Q3'12	$ 105.25	15,000
23/04/2012	SWAP NEWC Index	Q1'13	$ 109.30	15,000
23/04/2012	SWAP NEWC Index	Q2'12	$ 103.00	15,000
24/04/2012	SWAP NEWC Index	Q1'13	$ 109.30	15,000
24/04/2012	Phys RB1	May'12	$ 99.70	150,000
25/04/2012	Phys NEWC (FOB Newcastle)	Jun'12	$ 100.25	75,000			EFP, ND
25/04/2012	Phys API#2 Index (DES)	Jul'12	-$ 3.40	75,000	ACPRSU	Rott
26/04/2012	Phys ARA (DES)	Jun'12	$ 93.15	50,000	ACPRS	Rott	EFP