SGX M42F Thermal Coal - Daily Update 30 August 2019
Monday, September 2 2019 - 06:15 PM WIB
August month-to date:
Futures volume at 127kt, open interest at 72kt
Total volume since April 2018: 1.17 million metric tonnes
Physical
Prompt Indonesian low-rank prices held steady last week, with enquiries from China and India rising. Several Jakarta-based trading sources said that with overall demand still weak, some smaller Indonesian producers who were struggling with high costs were reluctant to let their coal go at current price levels. However, bigger producers that are keen to maintain market share were heard to be less resistant. In the low-rank market, an index-linked physical deal was settled at flat to the average of M42/ICI4, basis 4,200 kc GAR, for a September loading geared vessel. Trades for similar material were settled at fixed prices between $30.50-31.75/t FOB, basis 3,800 kc NAR, for geared vessels loading in September, compared with traded levels last week at $30.75-31.50/t FOB, same basis.
Paper
A slight firming in values for M42, as traded on SGX, was seen last week. Deals were concluded via SGX at $31.30-31.40 for September, up from $31.20/t a week ago. Further out, fair value for the Q4 contract was valued at $31.25/t, up from $31.05/t last week. (ends)