SGX M42F Thermal Coal - Daily Update 4 December 2020

25kt traded in the Friday T session

    Dec-20 traded 5kt @ $34

    Jan-21 traded 5kt @ $35.85

    Jan-21 traded 10kt @ $35.75

    Jan-21 traded 5kt @ $35.50

5kt traded in the Friday T+1 session

    Jan-21 traded 5kt @ $33.90

December month-to date:

Futures Volume 95kt, Open interest at 412kt

Total volume since January 2020: 3,774kt

 

Physical

China's continued buying enthusiasm has supported a significant rise in Indonesian spot coal prices for another week, amid a strengthening monsoon in the coal-rich islands of Kalimantan and Sumatra. "Buying for all grades of coal has been strong," remarked a Jakarta-based trader. Deals for January loading geared vessels were heard concluded at $33.00-34.20/t FOB, basis 4,200 kc GAR, growing markedly on the week. The bid-offer gap for February markets, however, remains wide with bids heard at $32.50-33.40/t FOB, basis 3,800 kc NAR, against offers at $34.40-34.80/t FOB, same basis, for geared vessels. On an index-linked basis, bids were seen at M42 minus $0.70/t, basis 3,800 kc NAR, against offers at M42 plus $0.45/t, same basis, for geared vessels loading in January. Q1 2021 contracts for geared vessels were bid at M42 minus $0.60/t FOB, basis 3,800 kc NAR, against offers at plus $0.25-0.55/t FOB, same basis.

 

Paper

Trading sentiment was on the upswing for Asian futures over the week, with December deals settled for M42 via SGX at $33.00-34.45/t, an improvement from $32.00-33.25/t the previous week. January M42 traded at $34.00-34.45/t for most of the week before peaking at $35.50-35.90/t on Friday.

 

 

Source: IHS Markit