SGX M42F Thermal Coal - Daily Update 22 March 2019
Monday, March 25 2019 - 03:26 AM WIB
March month-to date:
Futures volume 35kt, open interest 60kt
Total volume since April 2018: 634kt
Physical
Coal prices for Indonesian material has slipped further on the week as demand from China and India quickly retreats. In contrast, the availability of Indonesian supply remains good. Numerous market participants - traders and miners alike - have complained about a lack of enquiries from buyers. It is understood that consistently easing domestic coal prices in China, particularly for 5,000 kc NAR material, is not incentivising end users there to import. Low-rank coal traded several times at levels lower on the week. Deals for April loading geared vessels settled at $37.00-38.10/t FOB, basis 3,800 kc NAR. A week ago, trades concluded at $39.00-39.35/t FOB, same basis, also for April loading geared vessels.
Paper
Sentiment was weak in the paper market as physical prices were driven down by slower demand and ample supply. Markets for M42, as listed on SGX, were bid at $38.20/t against an offer at $38.70/t for March. Last week, the same month was bid at $38.55/t, with offers at $39.50/t. Levels for April also fell on the week with bids seen at $35.70/t, against offers at $37.90/t. Last week April was bid at $38.00/t, against offers at $38.60/t. (ends)