Market overview from globalCoal for June 07
Friday, June 8 2012 - 12:46 AM WIB
A quiet session in the physical market saw value drift slightly, with August DES tonnes offered slightly lower than yesterday's traded level. Paper markets suffered early losses, before recovering slightly in the afternoon, but remained lower by close of play, with Cal 13 API2 off around $0.40/t, while the same API4 contract shed nearer $1.00/t. Oil prices drifted in line with coal, with front month Brent crude off $0.72/bbl near the end of the session to sit at $99.92/bbl.
Another Bali coal conference concludes for another year, with the overall sentiment maintaining the bearish tone globally. Rumours of further defaults and delayed vessels from Asian FOB locations continue to fuel this sentiment. In the Australian 5500nar market, bids and offers were few and far between, with indicative interest at around $84-$85 range. Indonesian coal continues to slide, with offers at $37 for 530-5100 adb type material. Until the distressed cargos are cleaned up, prices in the prompt will continue to fall.
globalCoal trades this week
| Product | Expiry | Price | Volume | Origin | Delivery Point | EFP | |
| 04/06/2012 | Phys NEWC (FOB Newcastle) | Sep'12 | $ 92.00 | 25,000 | |||
| 06/06/2012 | Phys ARA (DES) | Aug'12 | $ 87.25 | 50,000 | ACPRS | Ams/Rot | EFP |