Print

May delivery contracts for both PP and PE poses firmer trend throughout the morning session. LLDPE futures added CNY65/ton ($10/ton) to CNY9895/ton ($1321/ton without VAT) while PP contract increased CNY53/ton ($8/ton), reaching CNY9468/ton ($1264/ton without VAT).

Domestic spot market has not witness any major movement, though trader in Eastern China are attempting to lift homo-PP prices by CNY50/ton ($8/ton), following the firmer trend in futures trading. Price list on 22 January 2018 stands at CNY‎‎9400-9500/ton ($‎1255-1269/ton without VAT), EXW China, cash equivalent.

Spot LLDPE film offers in
Northern China remain largely unchanged from the previous week, in the range CNY9700-9850/ton ($‎1295-1315/ton without VAT), with the same term.

Despite stronger futures trading, purchasing interest in spot market has not spiked on the first trading day of the week. It is expected that sentiment might gradually slow down in the coming week, reflecting the state of demand ahead of the holiday season. “End product inventories are piling up at manufacturer side. Just yet, we are not expecting any serious reduction in term of PP, PE prices,” a trader commented.