Market overview from globalCoal for July 20

Today saw the physical and paper markets extend yesterday's gains, with prompt DES tonnes trading $0.25/t higher day on day. In the paper market, API2 values were up along the curve, with Cal 12 closing $0.65/t higher, while the same contract on API4 gained $0.70/t throughout the session. Oil also consolidated yesterday's increase, with front month Brent crude up $0.97/bbl by 17:29 to sit at $118.03/bbl.

Offer prices for Sep'11 Newcastle were $ 120.50/mt during Asian business hours, while the best interest on the bid side was 115.00 for the same period. Indonesian sub-bituminous coals seem to be well supplied in the prompt. The market in Asia as a whole is looking for direction during this quiet period. Some utility demand for higher CV coals, but all in all, this is still limited. (*)

globalCoal trades this week

Product		Expiry	Price	Volume	Origin	Delivery Point	EFP
18/07/2011	Phys NEWC Index	Sep'11	-$ 0.75	25000
18/07/2011	Phys RB1	Q1'12	$ 121.75	150000
18/07/2011	Phys API#4 Index	Q4'11	-$ 1.10	150000
18/07/2011	Phys ARA (DES)	Sep'11	$ 122.50	50000	ACPRS	Rott	EFP
19/07/2011	Phys NEWC Index	Q4'11	-$ 0.65	75000
19/07/2011	Phys RB1	Aug'11	$ 115.00	50000			EFP
20/07/2011	Phys ARA (DES)	Sep'11	$ 123.25	50000	ACPRS	Ams/Rot	EFP
20/07/2011	Phys RB1	Aug'11	$ 115.15	75000