SGX M42F Thermal Coal - Daily Update 25 August 2020

August month-to date:

Futures volume at 174kt, Open interest at 429kt

 

Total volume since January 2020: 2,314kt

 

Physical

Market activity remains limited for Indonesian material, as Chinese and Indian buying continues to be muted by low demand and import restrictions. Low-rank material was heard offered at $23.50/t FOB, basis 3,800 kc NAR, for a geared vessel loading in September. A separate bid was reported at $23.25/t FOB, same basis, for a second half of September loading geared vessel. However, elsewhere offers were reported at $22.50-22.75/t FOB, basis 3,800 kc NAR, for September loading geared vessels. For October loading geared vessels, a market was reported bid at $21.50/t FOB, basis 3,800 kc NAR, and offered at $24.25/t FOB, same basis. A bid for a November loading geared vessel was reported at $22.00/t FOB, basis 3,800 kc NAR, with an offer against at $25.50/t FOB, same basis. On an index-linked basis, a September loading geared vessel of 3,800 kc NAR material was offered at flat to M42. For October or November loading shipments, bids were heard at M42 minus $1.00/t against offers at flat to the index.

 

Paper

M42, listed on SGX, was bid for September at $22.95 and offered at $23.50, while October was bid at $23.50 and offered at $24.50. Further out, Q4-20 was bid at $24.75 and offered at $25.95, while Q1-21 was bid at $26.35 and offered at $28.95. Cal-21 was bid at $25.85 and offered at $31.95.

 

Source: IHS Markit.