Market overview from globalCoal for February 16

Talk of a deferral on Greece's bail-out package continues to weigh heavily on European trading sentiment. In a thin day's trading, the financial coal market saw the benchmark Cal 13 contracts fall by around $0.50 across the three main indices to reverse yesterday's gains. With indecision reigning in the paper market, the physical hubs are moving in their own directions: European DES ARA feels ever more bearish due to over-supply and index discounts are heading to all time lows; conversely Richards Bay is ticking up on the back of short covering and the return of Asian buying interest; Newcastle seems to have found its ceiling after March traded $120 in Singapore hours. Meanwhile, April Brent crude traded up over $1 on the back of Middle East tensions to end the day (@ 5pm) at ~$120.10/bbl.

Indian buying interest for March RB was seen around $104.50/mt today but vained as the markets edged up subsequently, some buyers were seen also exploring COL origin offers as an alternate for RB. An Indonesian 55-53 gad single mine coal traded at around $ 45/mt FOB between two traders. Price level for 4200 gar single mine coal were maintained around $52/mt FOB.

globalCoal trades this week

	Product	Expiry	Price	Volume	Origin	Delivery Point	EFP
13/02/2012	Phys NEWC Index	Jun'12	$ 0.75	75,000
14/02/2012	Phys RB1	Mar'12	$ 104.75	50,000
14/02/2012	Phys RB1	Apr'12	$ 103.20	75,000			EFP
14/02/2012	Phys API#4 Index	Apr'12	$ 0.00	75,000
14/02/2012	Phys ARA (DES)	Mar'12	$ 97.00	65,000	R	Antw
14/02/2012	Phys ARA (DES)	Feb'12	$ 96.00	65,000	R	Antw
15/02/2012	Phys ARA (DES)	Mar'12	$ 97.25	65,000	R	Ams/Rot
15/02/2012	Phys RB1	Mar'12	$ 105.25	50,000
16/02/2012	Phys NEWC (FOB Newcastle)	Mar'12	$ 120.00	150,000