Market overview from globalCoal for July 22

The week ended with little movement in physical and paper prices, with prompt DES ARA tonnes bid marginally higher than yesterdays traded level. Paper was virtually unmoved at the front end, with slight losses seen on Cal 12 API2 and API4 contracts. Oil ticked up today, with front month Brent crude up $0.97/bbl by 17:08 BST to sit at $118.48/bbl.

Market commentary would suggest that there is overhang of Newcastle tonnes in the prompt, with rumours that a cape offered at $116 for August. Interest in September is at the same levels as yesterday, at $120.50. In Japan, there are still several nuclear power related issues and many JPUs facing extremely tough times trying to meet their summer peak demands. In addition, the recent tender result by one of the JPUs was within the expected range and Japanese market did not react to the news at all. (*)

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
21/07/2011	Phys RB1	Sep'11	$ 116.25	75000
21/07/2011	Phys ARA (DES)	Sep'11	$ 123.75	50000	ACPRS	Ams/Rot	EFP
21/07/2011	Phys RB1	Aug'11	$ 115.10	50000
22/07/2011	Phys RB1	Q4'11	$ 119.75	150000