SGX M42F Thermal Coal - Daily Update 19 February 2020
Thursday, February 20 2020 - 07:39 PM WIB
February month-to date:
Futures volume at 280kt, Open interest at 402kt
Total volume since January 2020: 392kt
Physical
Demand for Indonesian material appears to have eased in recent days. Offers continue to dominate spot market activity, as buying interest retreats on the back of weaker Chinese interest. For low-rank, an offer for a March loading geared vessel was reported at $37.00/t FOB, basis 3,800 kc NAR, while a separate bid was reported at $34.25/t FOB, same basis, although one trading source said there was still buying interest at around $36.00/t FOB. Offers for March loading Panamaxes were reported at $37.50-37.75/t FOB, basis 3,800 kc NAR. For geared vessels loading in April, offers were reported at $35.85-36.00/t FOB, basis 3,800 kc NAR. On an index-linked basis, Panamaxes of 4,200 kc GAR for March loading were offered at plus $1.00/t to the average of the M42/ICI4 indices, while geared vessels for March were offered at plus $0.25 to the average of the indices.
Paper
Paper markets were slow, with uncertainty regrading Chinese demand going forward making direction difficult to call. M42 paper, listed on SGX, was bid for March at $35.00 and offered at $35.50, while April was offered at $35.35.
Source: IHS McCloskey.