Market overview from globalCoal for August 2
Wednesday, August 3 2011 - 01:45 AM WIB
Despite US debt plan resolution, bearish sentiment took a hold of commodities and equities once again. Financial coal trading remains seasonally thin, the most notable move being the front end API#2 which firmed $1 on the back of stronger physical trades while the Cal 12 contracts saw a $0.15 increase on the API#2 and NEWC indices (with implied freight softening a touch). The physical market again saw index qualifying deals being concluded in the ARA and Richards Bay hubs at levels $0.50-$0.75 higher than yesterday. Meanwhile, front month Brent crude ticked off $0.50 to end the day at ~$116.30 (@17:00).
Prices of Indo coal remained stable in India with GCV 53/51 TM 39/41 at $ 46 and with TM 42/44 at around $ 42. High CV 63/61 is being offered at around early 90s level. Plenty of coal stocked at various ports as consumption by SEBs has been slow mainly due to a slump in electricity demand during monsoon which is seen as a cyclical. (*)
globalCoal trades this week
| Product | Expiry | Price | Volume | Origin | Delivery Point | EFP | |
| 01/08/2011 | Phys ARA (DES) |
Sep'11 |
$ 125.50 |
50000 |
ACPRS | Rott | EFP |
| 01/08/2011 | Phys ARA (DES) | Oct'11 | $ 126.00 | 50000 | ACPRS | Ams/Rot | EFP |
| 02/08/2011 | Phys ARA (DES) | Oct'11 | $ 126.25 | 50000 | ACPRS | Ams/Rot | |
| 02/08/2011 | Phys ARA (DES) | Oct'11 | $ 126.25 | 50000 | ACPRS | Rott | EFP |