Coal Market Report
Monday, 4 June 2018
Daily Coal Indices
Product Week TD Daily % Ch Month TD Daily % Ch Best Index Bid Best Index Offer
NEWC 112.072.92 %110.481.46 %113.00111.25
DES ARA 96.381.44 %95.700.73 %96.0096.75
RB 105.00-0.36 %105.19-0.18 %105.50104.50
INDO 4200 40.250.00 %40.250.00 %25.0044.00

Market Overview
Driven by strong Asian demand the coal market opened the week on a decidedly bullish note. Coal futures initially traded sideways before gathering upward momentum throughout the day, leaving the key Cal'19 contracts almost $1.50 higher on API#2 and $1 up on NEWC. However, the underlying physical remains lacklustre and the only action of note was a July NEWC cargo changing hands at $113.75/mt, its highest level since February 2012. Elsewhere, European gas and power markets also made solid gains while oil markets weakened with front month Brent losing over $1.10 to stand at around $75.65/bbl near close of play.

From the Asian Desk
The week started with prompt Phys NEWC bids being posted to the screen early in the session, offers however remained scarce for fixed price cargoes and there were no trades as of late in Asian hours. In the NEWC futures market, levels climbed higher again today, with Jul18 higher by just under $1.50/mt, and the Q318 outright and Q418 higher by similar amounts. Back in the Phys NEWC market, Jul18 was best bid at $113.50/mt in 25kt, but no offer was posted against. Further along the curve, Aug18 was best bid at $108.00/mt but no offers had been seen as of shortly before the close in Asia. At the back of the index window, Sep18 was best bid $107.65/mt and offered $111.25/mt, with the bid in 75kt ND, and the offer in 25kt. The Q318 contract was bid at $112.00/mt during the session. The vessel queue at PWCS currently stands at 28 up from 18 at the end of last weeks as swells affected traffic in and out of the port, while the turnaround time is at 5.6 days.

From the Met Desk
The July premium mid vol product was framed today on screen at $186.0 bid for Branded HCCA in 75kt against $205.0 offered for Unbranded HCCA in 75kt - the bidding level up $3.0 from a previous July Branded bid last Friday. A second July Branded bid was also behind at $181.0 in 75kt.

globalCOAL Thermal Coal Trades this Week
  Product Expiry Price Volume Origin Delivery Point Add.Terms
04/Jun/2018Phys NEWC (FOB Newcastle)Jul'18$ 113.7525,000   

globalCOAL Metallurgical Coal Trades this Week
  Product Expiry Price Volume Add.Terms
No Trade

Recent Coal Indices
Weekly 04 May 11 May 18 May 25 May 01 Jun
NEWC101.35101.64107.75109.82108.89
DES ARA85.3589.8892.8891.7195.01
RB 98.57104.23106.29104.88105.38
INDO 420040.2540.2540.2540.2540.25
globalCOAL Indices: Last 3 months (US$)
   NEWC    DES ARA  RB 
Monthly Jan 18 Feb 18 Mar 18 Apr 18 May 18
NEWC106.46105.9196.3893.69105.14
DES ARA96.5387.0279.8281.9389.96
RB98.6595.1391.9994.04103.49
INDO 420044.9844.9844.9842.7240.25

Coal Forward Prices
Representing best bids / best offers on the globalCOAL Platform Between 00:00 and 18:00 Local London Time
 
  Phys NEWC Phys NEWC Index    
  Bid Offer Mid Bid Offer Mid Bid Offer Mid Bid Offer Mid
Jul'18113.75--2.25--      
Aug'18108.00--         
Sep'18107.75111.25109.502.05--      
Q3'18112.00--3.25--      
Q4'18   1.60--      
Q1'19   1.203.002.10      
  Phys DES ARA Phys API#2 Index Phys ARA 5700 (DES)  
  Bid Offer Mid Bid Offer Mid Bid Offer Mid Bid Offer Mid
Jul'1895.5097.0096.25-1.50-      
Aug'1896.0096.7596.38-1.50-      
Sep'1894.00---1.50-      
Q4'18   1.001.001.00      
Q1'19   1.05--      
 
  Phys RB Phys RB Index PHYS API#4 INDEX  
  Bid Offer Mid Bid Offer Mid Bid Offer Mid Bid Offer Mid
Jul'18105.50--         
Aug'18104.25104.50104.38   0.50--   
Sep'18      -1.25-   
Q4'18      -1.15-   
Q1'19      0.60--   
2019      0.701.751.23   
 
  Phys RB2 5700 Phys RB Index (RB2 5700) Phys API4# Index (RB2 5700)  
  Bid Offer Mid Bid Offer Mid Bid Offer Mid Bid Offer Mid
Jul'18      --1.00-   
Sep'18      --1.00-   
 
  Phys HCCA Branded Div (FOB Aus) Phys HCCA Branded ND (FOB Aus) Phys HCCA (FOB Aus)  
  Bid Offer Mid Bid Offer Mid Bid Offer Mid Bid Offer Mid
Jul'18   186.00---205.00-   

globalCOAL 6000 Physical Curves: Fixed Price
 
  Phys NEWC Phys ARA (DES) Phys RB
Jun'18114.5095.50106.15
Jul'18113.7596.05106.10
Aug'18111.7095.55105.35
Sep'18109.4094.90103.85
Q3'18111.6095.50105.10
Q4'18107.0094.65102.05
Q1'19105.7092.80100.00
Q2'1999.7591.3597.95
CAL-1998.3589.9096.20
CAL-2092.3585.3092.15
6000 Physical Curves: Fixed Price
   Phys NEWC  Phys ARA (DES)  Phys RB1
 Previous day 

globalCOAL 6000 Physical Curves: Index-Linked
 
  Phys NEWC Index Phys API#2 Index (DES) Phys gC RB Index
Jun'181.000.000.75
Jul'184.000.151.20
Aug'183.550.301.05
Sep'183.000.300.90
Q3'183.500.251.05
Q4'182.500.900.80
Q1'192.201.200.95
Q2'191.751.100.85
CAL-191.851.100.90
CAL-201.351.001.05
6000 Physical Curves: Index-Linked
   Phys NEWC Index  Phys API2# Index (DES)  Phys gC RB Index
 Previous day 

gC NEWC Futures Curve
 
  Bid Offer Mid Change
Jun'18113.25113.75113.503.10
Jul'18109.50110.00109.751.15
Aug'18107.90108.40108.151.25
Sep'18106.15106.65106.400.90
Q3'18107.85108.35108.101.10
Q4'18104.25104.75104.501.20
Q1'19103.25103.75103.501.20
Q2'1997.7598.2598.001.05
CAL-1996.2596.7596.501.00
CAL-2090.7591.2591.00-1.30
gC NEWC Futures Curve (Mid-Point)
 Previous day 

globalCOAL 5500 Physical Curves: Fixed Price
 
  Phys HA Aus Phys CFR Kemen/Liuheng
Jun'1877.0087.50
Jul'1879.5090.00
Aug'1878.0089.75
Sep'1877.0089.00
Q3'1878.1589.60
Q4'1875.0089.00
5500 Physical Curves: Fixed Price
     Phys HA Aus  Phys CFR Kemen/Liuheng
 Previous day 


globalCOAL 5500 Physical Curves: Index-Linked
 
  Phys NEWC Index (HA Aus) Phys API#5 Index (HA Aus)
Jun'18-28.40-1.00
Jul'18-23.252.50
Aug'18-23.151.50
Sep'18-23.051.00
Q3'18-23.151.65
Q4'18-22.901.50
5500 Physical Curves: Index-Linked
   Phys NEWC Index (HA Aus)  Phys API#5 Index (HA Aus)
 Previous day 


globalCOAL 4200 Physical Curves: Fixed Price
 
  Phys INDO 4200
Jun'1845.75
Jul'1845.50
Aug'1845.50
Sep'1845.20
Q3'1845.40
Q4'1845.00
4200 Physical Curves: Fixed Price
     Phys INDO 4200
 Previous day 

globalCOAL Met Coal Curves: Fixed Price
 
  Phys HCCA Phys HCCA Branded
Jun'18190.00192.00
Jul'18191.00193.00
Aug'18186.50188.50
Sep'18186.50188.50
Met Coal Curves: Fixed Price
     Phys HCCA  Phys HCCA Branded
 Previous day 


Freight Forward Prices
 
  RB - Rott Bol - Rott C5
  Bid Offer Mid Bid Offer Mid Bid Offer Mid
Jun 188.309.008.659.7510.4010.087.508.007.75
Jul 188.609.409.009.7010.209.958.358.958.65
Q3 189.109.809.4510.0010.6010.308.358.858.60
Q4 1810.1510.9010.5310.8011.4011.108.909.509.20
Source: SSY (Capesize Coal FFA Market Prices)

PWCS Vessel Queue
  Ships Off Port Av. Queue Days
23 May112.50
24 May152.60
25 May172.60
29 May212.80
30 May152.60
31 May183.00
01 Jun183.20
04 Jun285.60
Ships Waiting Off Port at PWCS
 
Source: HVCCC

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