SGX M42F Thermal Coal - Daily Update 29 October 2019

10kt traded in Tuesday T Session

Nov-19 traded 10kt @ $34.25

 

October month-to date:

Futures volume at 97kt, Open interest at 105kt

Total volume since January 2019: 939kt

 

Physical

Buyers had already been showing reluctance to follow prices higher, with resistance seen in the second half of last week, and the emergence of tighter restrictions at some Chinese ports will further deter bids. For low-rank, offers were reported at $36.00/t FOB, basis 3,800 kc NAR, for geared vessels loading in either November or December. A separate market was reported for a geared vessel loading in December, bid at $33.60/t FOB, basis 3,800 kc NAR, and offered at $35.40/t FOB, same basis.

 

Paper

M42, listed on SGX, traded at $34.25 for 10,000 t in November. This was down sharply on the last November deal done last Friday at $35.25. Following the trade, November was bid at $34.10 for October and offered at $34.60, with December also bid at $34.10 and offered at $34.60. A spread for November vs December was bid at minus $0.75 and offered at plus $0.50. Further out, Q1-20 was bid at $34.00 and offered at $35.60, while Cal-20 was within $0.50, bid at $34.70 and offered at $35.20.

 

Source: IHS McCloskey