SGX M42F Thermal Coal - Daily Update 24 February 2021

10kt traded in the Tuesday T+1 session

NLT

    Mar-21 traded 10kt @ $39.75

Swaps

    NIL

15kt traded in the Wednesday T session

NLT

    Mar-21 traded 5kt @ $39.00

    Mar-21 traded 5kt @ $38.50

    Mar-21 traded 5kt @ $38.00

Swaps

    NIL

February month-to date:

Futures Volume at 603kt, Open Interest at 979kt

Swaps Volume at 50kt, Open Interest at 50kt

Total volume since January 2021: 2,092kt

 

 

Physical

Improved weather in certain parts of Kalimantan is aiding miners to meet February shipments at a timelier pace than in the month prior. However, several producers remarked that bids from India, though growing, remain low compared with enquiries from China. "We are in a wait-and-see mood, especially with China's domestic prices falling." Increased freight rates, however, are impacting Indonesia's competitiveness into China, where domestic prices continue to fall. This has resulted in some buyers deferring on prompt buying decisions and pushing back their interest to April and beyond. "There is no advantage in importing right now," one Chinese trader said. For low-rank, an offer was reported at $40.00-41.00/t FOB, basis 3,800 kc NAR, for a March loading geared vessel. A bid for a gearless vessel was reported at $40.00/t FOB, basis 3,800 kc NAR, for March loading

 

Paper

M42 traded at $39.00 for March, down from the previous day's last transaction level at $39.75, before trading lower later in the afternoon at $38.50 and $38.00 in the evening session. Later in the afternoon, March was bid at $38.00 and offered at $38.75, with April bid at $37.15 and offered at $39.50. Further out, offers were reported at $38.25 for both Q3-21 and Q4-21. A spread for March vs April was bid at M42 plus $0.50 and offered at plus $1.00.

 

 

 

Source: IHS Markit