Market overview from globalCoal for October 3

Sentiment from weaker equity markets combined with a firmer US$ resulted in the wider energy markets falling early doors. Financial coal values came off by around $2.25 on the benchmark Cal 12 contracts across the three main indices, although the front ends did hold up better. The physical market tracked the paper downwards in thin trading, with nearside Richards Bay dominating interest. Meanwhile, front month Brent crude traded in a $1.50 range before ending end the day (@ 17:00) flat at ~102.75/bbl.

Equity markets in Asia were again volatile, with most markets down by at least 2%. Coal markets haven't seen the same falls as yet, with tightness evident in the Newcastle market maintaining the status quo today. China has started its week long holidays, so most believe the Indonesian markets will be soft this week in response. (*)

globalCoal trades this week

Product		Expiry	Price	Volume	Origin	Delivery Point	EFP
03/10/2011	SWAP NEWC Index	Dec'11	-$ 0.75	25000
03/10/2011	SWAP NEWC Index	Dec'11	-$ 0.75	25000
03/10/2011	Phys RB1	Nov'11	$ 112.50	75000