SGX M42F Thermal Coal - Daily Update 24 September 2020

10kt traded in Thursday T session

• Oct-20 traded 5kt @ $26 (Oct-20/Nov-20 spread @ $1.60)

• Nov-20 traded 5kt @ $27.60 (Oct-20/Nov-20 spread @ $1.60)

10kt traded in Thursday T+1 session

• Oct-20 traded 10kt @ $27

 

September month-to date:

Futures volume at 284kt, Open interest at a record 578kt

 

Total volume since January 2020: 2,663kt

 

Physical

Suppliers of Indonesian material said that bidding levels rose in the last few days, suggesting that traders and buyers were taking positions as winter restocking gathers pace. For low-rank, November loading shipments were said to be getting higher bids than October loaders. Bids were heard at $24.50/t FOB, basis 4,200 kc GAR, and $25.00-27.00/t FOB, basis 3,800 kc NAR, for October and November loading geared vessels, respectively. An offer for a November loading geared vessel was heard at $28.50/t FOB, basis 3,800 kc NAR. There was talk of a trade at $27.00/t FOB, basis 3,800 kc NAR, for a late October, early November loading shipment, for either a Supramax or Panamax, although this could not be confirmed at the time of writing.

 

Paper

M42 traded via SGX for October at $26.00, which is up on the $25.60 it traded at earlier in the week. November traded at $27.60, which is higher than the $27.00 it traded at on Tuesday. Later in the evening, October traded again up at $27.00. Earlier in the day, October was bid at $26.00 and offered at $27.00, while November was bid at $27.25. A spread for November vs December was reported bid at M42 minus $1.30 against an offer at minus $0.70.

 

Source: IHS Markit