Saturday, 28 Jan 2012
Reuters reported that US dollar fell to its lowest for almost two months on Thursday, giving a sharp boost to coal prices which have sagged this month due to weak fundamentals globally.
Two March loading South African cargoes traded early in the day at USD 108.50 and USD 108.75, up over USD 3.00 from Wednesday, bought by banks and traders, sold by a large, international trading house.
Coal swaps rallied on Thursday, bolstered by European utilities hedging dark spreads (the profit margin from using coal to generate power) and oil's rise, despite the lack of physical buying and high stockpile levels.
End users in Europe and Asia remained noticeable for the absence from the market.
Traders said that whether China resumes large scale spot buying after the New Year holidays is absolutely critical for coal price direction, regardless of the gyrations of the swaps market.
China overtook Japan as the world's largest coal importer last year after a surge in imports in the last quarter to a total of 182.4 million tonnes, nearly 11 percent up from the previous year, much of it bought on a spot basis.
One European trader said that "The dollar got hammered overnight and that's pulled commodities up including coal, but the swaps, particularly the Calendar years, have risen even more.”
(Sourced from Thomson Reuters)
Showing posts with label South Africa's coal shipments. Show all posts
Showing posts with label South Africa's coal shipments. Show all posts
Saturday, January 28, 2012
Thursday, January 5, 2012
Steam coal prices move up with oil on Iranian tension
Thursday, 05 Jan 2012
Reuters reported that physical prompt coal prices moved slightly higher on Wednesday, in line with gains in oil due to growing tension between Iran and the United States and European Union.
A few index inked DES ARA trades took place but no fixed price trades.
A January loading South African cargo was bid at USD 108.50 and offered at USD 112.50, up 25 cents.
A February cargo was bid at USD 104.50, while a March cargo was bid at USD 105.00, unchanged.
A January DES ARA cargo was bid at USD 108, up USD 1.00
A February DES ARA cargo was bid at USD 110.00 and offered at USD 115.00, up USD 1.50
Unless there are fresh supply disruptions, prices look set to continue to drift lower, traders and utilities said.
Coal would not be immune to a spike in oil prices if the United States and EU decide to place an embargo on Iranian oil imports and this escalates.
The US and EU on Wednesday agreed in principle to ban Iranian oil imports but have yet to decide when an embargo would come into effect.
Iran has threatened to close the Strait of Hormuz to oil shipping in response to sanctions.
(Sourced from Reuters)
Reuters reported that physical prompt coal prices moved slightly higher on Wednesday, in line with gains in oil due to growing tension between Iran and the United States and European Union.
A few index inked DES ARA trades took place but no fixed price trades.
A January loading South African cargo was bid at USD 108.50 and offered at USD 112.50, up 25 cents.
A February cargo was bid at USD 104.50, while a March cargo was bid at USD 105.00, unchanged.
A January DES ARA cargo was bid at USD 108, up USD 1.00
A February DES ARA cargo was bid at USD 110.00 and offered at USD 115.00, up USD 1.50
Unless there are fresh supply disruptions, prices look set to continue to drift lower, traders and utilities said.
Coal would not be immune to a spike in oil prices if the United States and EU decide to place an embargo on Iranian oil imports and this escalates.
The US and EU on Wednesday agreed in principle to ban Iranian oil imports but have yet to decide when an embargo would come into effect.
Iran has threatened to close the Strait of Hormuz to oil shipping in response to sanctions.
(Sourced from Reuters)
Friday, December 16, 2011
Steam coal prices remain stable
Friday, 16 Dec 2011
Reuters reported that physical prompt coal prices held steady on Thursday as the market ignored choppy oil trade but prices are likely to come under more pressure in the next few weeks due to poor demand.
A January delivery DES ARA cargo was bid at USD 109.50, unchanged.
A February multi origin DES ARA cargo was bid at USD 108.50 and offered at USD 110.00, unchanged.
A January South African cargo was bid at USD 102.25 and offered at USD 103.00.
(Sourced from Reuters)
Reuters reported that physical prompt coal prices held steady on Thursday as the market ignored choppy oil trade but prices are likely to come under more pressure in the next few weeks due to poor demand.
A January delivery DES ARA cargo was bid at USD 109.50, unchanged.
A February multi origin DES ARA cargo was bid at USD 108.50 and offered at USD 110.00, unchanged.
A January South African cargo was bid at USD 102.25 and offered at USD 103.00.
(Sourced from Reuters)
Sunday, November 13, 2011
China’s SA coal imports rise three-fold in October
Sunday, 11 November 2011
China, the world’s biggest coal consumer, increased imports of coal from South Africa three-fold in October from a year earlier, Mjunction Services Ltd. said in a note to clients.
Purchases rose to 2.59 million metric tons last month from 863,000 tons a year earlier as imports became cheaper than supplies from Chinese mines, India Coal Market Watch, a unit of Mjunction, said today. China’s purchases were 912,000 tons in September.
China’s imports accounted for 35 percent of the 7.38 million tons shipped from South Africa in October, exceeding India’s purchases of 1.26 million, according to the data from Mjunction, a joint venture between Tata Steel Ltd. and Steel Authority of India Ltd. India typically purchases more coal from South Africa than China.
Total imports of coal by China rose to a record in September, increasing 25 percent to 19.1 million tons from a year earlier, the National Development and Reform Commission said in a statement last month on its website.
Chinese buyers typically increase purchases when the cost of coal from countries including Indonesia, South Africa and Australia falls, making imports more economical than domestic supplies.
Prices at Richards Bay have averaged $110.82 a ton in October 2011 compared with $152.98 at Qinhuangdao in China for 6000 kilocalories per kilogram coal grade, data from Petersfield, U.K.-based researcher IHS McCloskey showed.
Coal at Richards Bay in the seven days ended Nov. 4 fell to the lowest level in 11 months to an average $108.13 a ton, IHS McCloskey said.
South Africa’s exports to Asia rose 38 percent from a year ago to 5.43 million tons last month while exports to Atlantic countries fell 44 percent versus last year to 1.72 million tons, according to the note.
Source: Bloomberg
China, the world’s biggest coal consumer, increased imports of coal from South Africa three-fold in October from a year earlier, Mjunction Services Ltd. said in a note to clients.
Purchases rose to 2.59 million metric tons last month from 863,000 tons a year earlier as imports became cheaper than supplies from Chinese mines, India Coal Market Watch, a unit of Mjunction, said today. China’s purchases were 912,000 tons in September.
China’s imports accounted for 35 percent of the 7.38 million tons shipped from South Africa in October, exceeding India’s purchases of 1.26 million, according to the data from Mjunction, a joint venture between Tata Steel Ltd. and Steel Authority of India Ltd. India typically purchases more coal from South Africa than China.
Total imports of coal by China rose to a record in September, increasing 25 percent to 19.1 million tons from a year earlier, the National Development and Reform Commission said in a statement last month on its website.
Chinese buyers typically increase purchases when the cost of coal from countries including Indonesia, South Africa and Australia falls, making imports more economical than domestic supplies.
Prices at Richards Bay have averaged $110.82 a ton in October 2011 compared with $152.98 at Qinhuangdao in China for 6000 kilocalories per kilogram coal grade, data from Petersfield, U.K.-based researcher IHS McCloskey showed.
Coal at Richards Bay in the seven days ended Nov. 4 fell to the lowest level in 11 months to an average $108.13 a ton, IHS McCloskey said.
South Africa’s exports to Asia rose 38 percent from a year ago to 5.43 million tons last month while exports to Atlantic countries fell 44 percent versus last year to 1.72 million tons, according to the note.
Source: Bloomberg
Monday, October 24, 2011
Euro exchange rate key to European coal prices
Monday, 24 Oct 2011
According to Mr Karim Kanji Barclays Capital head of coal and dry freight trading has said at the Coaltrans the euro dollar exchange rates have been keys to recent falls in the API 2 derivatives market. Calendar 2012 prices on API 2 have slipped in recent weeks mirroring the euro's fall against the dollar.
He said that there has also been strong correlation between the front-month Brent crude contract and the calendar 2012 coal contract, as these are the two largest global energy supply sources. The correlation between crude and coal disconnected during the “Arab Spring”, when crude prices rocketed, but have been close for the rest of this year.
Mr Kanji said there is also a strong correlation between the calendar 2012 summer months and the NBP gas summer 2012 contract as rival energy sources. Mr Kanji expects volatility in the market to pick up after a slow summer where volatility dropped to just 5pc because of seasonal factors such as low demand. Implied freight prices are at a premium to actual freight rates showing that South African coal cannot price into Europe. Bankers are looking to Asian markets and at new prices indexes such as CFR south China to hedge their price exposure in Asia-Pacific.
source Argusmedia
According to Mr Karim Kanji Barclays Capital head of coal and dry freight trading has said at the Coaltrans the euro dollar exchange rates have been keys to recent falls in the API 2 derivatives market. Calendar 2012 prices on API 2 have slipped in recent weeks mirroring the euro's fall against the dollar.
He said that there has also been strong correlation between the front-month Brent crude contract and the calendar 2012 coal contract, as these are the two largest global energy supply sources. The correlation between crude and coal disconnected during the “Arab Spring”, when crude prices rocketed, but have been close for the rest of this year.
Mr Kanji said there is also a strong correlation between the calendar 2012 summer months and the NBP gas summer 2012 contract as rival energy sources. Mr Kanji expects volatility in the market to pick up after a slow summer where volatility dropped to just 5pc because of seasonal factors such as low demand. Implied freight prices are at a premium to actual freight rates showing that South African coal cannot price into Europe. Bankers are looking to Asian markets and at new prices indexes such as CFR south China to hedge their price exposure in Asia-Pacific.
source Argusmedia
Wednesday, October 19, 2011
Euro Coal-Prices fall in thin trading
Wed Oct 19, 2011
* Economic weakness hampers physical demand
* Supply side looks healthy
LONDON Oct 19 (Reuters) - Prompt physical coal prices on Wednesday continued the week's downward trend on a day of minimal activity.
European demand continued to be low, and traders said that the outlook remained bearish.
"On the economic front, things aren't going to improve much even if we can avoid a double-dip recession, so that implies a sideways or downward movement as physical demand continues to drop or remains flat, while the supply side of coal looks good as a repeat of last year's floods in Australia is unlikely," one coal trader said.
In the paper market, API2 2012 coal swaps fell to $115.25 a tonne, their lowest level since February.
"Prices are going down, because the amount of shorts in the market is rising fast, and I don't see a big price recovery soon," another coal trader said.
TRADES
No trades were heard, but December South African coal deliveries had a bid-offer spread of $107-110.25 per tonne.
On Tuesday, a December South African cargoe traded at $111.25 a tonne.
No December DES ARA cargo was heard, but January deliveries saw a bid for $113.25 a tonne.
(sourced Reuters)
* Economic weakness hampers physical demand
* Supply side looks healthy
LONDON Oct 19 (Reuters) - Prompt physical coal prices on Wednesday continued the week's downward trend on a day of minimal activity.
European demand continued to be low, and traders said that the outlook remained bearish.
"On the economic front, things aren't going to improve much even if we can avoid a double-dip recession, so that implies a sideways or downward movement as physical demand continues to drop or remains flat, while the supply side of coal looks good as a repeat of last year's floods in Australia is unlikely," one coal trader said.
In the paper market, API2 2012 coal swaps fell to $115.25 a tonne, their lowest level since February.
"Prices are going down, because the amount of shorts in the market is rising fast, and I don't see a big price recovery soon," another coal trader said.
TRADES
No trades were heard, but December South African coal deliveries had a bid-offer spread of $107-110.25 per tonne.
On Tuesday, a December South African cargoe traded at $111.25 a tonne.
No December DES ARA cargo was heard, but January deliveries saw a bid for $113.25 a tonne.
(sourced Reuters)
Monday, August 15, 2011
South African Coal Export Prices Slip After Three Weekly Gains
Mon, Aug 15, 2011 | By Bloomberg
By Ying Diao
Coal export prices at Richards Bay in South Africa, site of the continent’s biggest terminal for shipping the fuel, fell last week after three weekly gains in a row, according to data on Bloomberg from researcher IHS McCloskey. Prices slipped 79 cents, or 0.7 percent, to $117.53 a metric ton.
By Ying Diao
Coal export prices at Richards Bay in South Africa, site of the continent’s biggest terminal for shipping the fuel, fell last week after three weekly gains in a row, according to data on Bloomberg from researcher IHS McCloskey. Prices slipped 79 cents, or 0.7 percent, to $117.53 a metric ton.
Friday, March 4, 2011
SAfrica's RBCT coal exports at 4.57 mln T in February
Fri Mar 4, 2011 8:09am GMT
JOHANNESBURG, March 4 (Reuters) - South Africa's coal exports rose to 4.57 million tonnes in February from 4.39 million tonnes the previous month, Richards Bay Coal Terminal (RBCT) data showed on Friday.
Stocks at the terminal stood at 2.8 million tonnes at the end of February. (Reporting by Olivia Kumwenda,sourced:ThomsonReuters)
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