According to ANZ analysts, coal “sentiment appears to be warming” with a rising Baltic Panamax market suggesting good freight interest in coal.
The bank warned that Indonesian supply may replace South African and Australian coal into Asia as the commodity becomes more price competitive, however the bank sees this trend as a slow shift due to the monsoonal rains Indonesia is currently experiencing.
The slow switch to Indonesian coal has also been supported by exports out of Newcastle Port with a 29% drop in the shipping queue and coal tonnes for loading.
As of Monday there were 21 vessels waiting off Newcastle Port.
