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China Morning Snapshot – 28 February 2019China Morning Snapshot – 28 February 2019 |
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China Morning Snapshot – 28 February 2019
May delivery contracts for both PP and LLDPE fall back to the negative section this morning, dragging the spot sentiment along.
Details on the spot and futures prices are shown in the following table:
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28 February 2019 |
Prices in CNY |
USD Equivalent |
Changes in CNY |
Changes in USD |
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Dalian Commodity Exchange (Mid-day closing) |
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PP 1905 |
CNY 8643 |
USD 1115 |
-CNY 100 |
-USD 15 |
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LLDPE 1905 |
CNY 8575 |
USD 1107 |
-CNY 80 |
-USD 12 |
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Spot Domestic Prices (EXW China, Cash equivalent) |
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PPH (East China) |
CNY 8650-8700 |
USD 1116-1123 |
-CNY 50-100 |
-USD 7-15 |
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LLDPE (North China) |
CNY 8650-8750 |
USD 1115-1129 |
Stable |
Stable |
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**All USD equivalent prices are exclusive of 16% VAT |
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Exchange rate: USD 1 = CNY 6.68 |
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Total inventories at Sinopec and CNPC’s warehouses reduced10,000 tons from yesterday to 935,000 tons as on 28 February 2019.
The momentum in domestic spot market continues to deteriorate following the plunge in futures trading. A number of distributors and traders reported being pressured by local producers to off-take extra allocation for March delivery since inventories digestion is getting slow.
The development has concerned many traders, whom has been hoping to see stronger demand from converters.
Country
China
