SGX M42F Thermal Coal - Daily Update 5 January 2021

44kt traded in the Tuesday T session

• Jan-21 traded 10kt @ $44.10

• Jan-21 traded 4kt @ $44.45

• Mar-21 traded 20kt @ $41.30

• Feb-21 traded 5kt @ $43.20 (Feb-21/Mar-21 spread @ $2.20)

• Mar-21 traded 5kt @ $41.00 (Feb-21/Mar-21 spread @ $2.20)

 

January month-to date:

Futures Volume at 111kt, Open interest at 586kt

 

Total volume since January 2021: 111kt

 

Physical

The supply shortage in China continues to support Asian thermal markets, with buyers still seeking prompt loading cargoes, although heavy rains continue to hamper production across Indonesia's major mining regions, limiting attempts by producers to increase production. For low-rank, a market for a January loading geared vessel was reported bid at $44.00/t FOB, basis 3,800 kc NAR, against an offer at $46.00/t FOB, same basis. A bid for a February loading geared vessel out of East Kalimantan was reported to have been bid at $45.00/t FOB, basis 3,800 kc NAR. Earlier, a February loading Panamax was heard bid at $43.00/t FOB, basis 3,800 kc NAR. A market was heard for a March loading geared vessel bid at $42.00/t FOB, basis 3,800 kc NAR, against an offer at $44.00/t FOB, same basis.

 

Paper

M42 traded for January $44.10 and $44.45, moving up from the previous day's transaction level of $44.15-44.35. March traded at $41.30, while a spread for February vs March also traded at plus $2.20. Through the day, M42 was heard bid for January at $44.25 and offered at $45.00, while February was bid at $43.00 and offered at $43.25 and March was offered at $40.75. A bid was also reported at $42.25 for Q1-21. A spread for February vs March M42 was bid at M42 plus $2.00 and offered at plus $2.20. An offer for March vs April was also reported at plus $1.85.

 

Source: IHS Markit.