SGX M42F Thermal Coal - Daily Update 20 November 2020

November month-to date:

Futures Volume 214kt, Open interest at 545kt

Total volume since January 2020: 3,644kt

 

Physical

Indonesian coal prices rose on the week supported by a lift in buying activity towards the end of the trading week. Multiple transactions were concluded for low-rank Indonesian material with prices rising in the second half of the week, in response to multiple Chinese tenders and spot buying for prompt loading cargoes. December loading geared vessels deals were heard settled at $29.50-31.00/t FOB, basis 3,800 kc NAR over the course of the week. The previous week, deals for December were heard settled at $29.25-29.50/t and at $29.50-30.50/t FOB, basis 4,200 kc GAR, for geared and Panamax vessels respectively. A December/January loading Panamax is understood to have been settled with an Indian power plant at around $30.25-30.50/t FOB, basis 3,900 kc NAR. On a China-delivered basis, a trade went through for low-rank coal at $36.80/t CFR, basis 3,800 kc NAR, for a January arrival Panamax into Guangdong.

 

Paper

Asian futures trading was active with deals settling at higher prices on the week. M42 November traded at $29.15-29.25/t, while December traded at $30.20-31.70/t over the week. The previous week, deals for M42 in December went through at $29.80-30.00/t. A trade for January settled at $31.80/t, rising from $30.60/t a week back.

 

Source: IHS Markit