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China Morning Snapshot – 29 December 2020China Morning Snapshot – 29 December 2020 |
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Dalian Commodity Exchange extended the weakening trend this morning, continue to shrug off the positive macro environment including the progressive vaccines, new stimulus package in the US, and Britain-EU trade deal.
Details on the spot and futures prices are shown in the following table:
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29 December 2020 |
Prices in CNY |
USD Equivalent |
Changes in CNY |
Changes in USD |
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Combined and reported by CommoPlast |
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Dalian Commodity Exchange (Mid-day closing) |
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PP 2105 |
CNY 7919 |
USD 1073 |
-CNY 154 |
-USD 24 |
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LLDPE 2105 |
CNY 7575 |
USD 1027 |
-CNY 75 |
-USD 11 |
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Spot Domestic Prices (EXW China, Cash equivalent) |
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PPH (East China) |
CNY 8000-8150 |
USD 1084-1105 |
-CNY 250 |
-USD 38 |
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LLDPE (North China) |
CNY 7600-7900 |
USD 1028-1070 |
-CNY 50 |
-USD 8 |
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**All USD equivalent prices are exclusive of 13% VAT |
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Compared to the previous trading day, inventories at Sinopec and CNPC’s warehouses have digested 45,000 tons to 605,000 tons as of 29 December 2020.
The larger reduction in the total inventories signals that customers might be returning to make small purchases as prices soften. However, sources are not having high expectations for the remaining of the week citing the long weekend holidays ahead.
On the positive side, the local government has withdrawn the red alert on the air pollution levels in the Northern China area, which means the manufacturing sector would be able to resume operation after the New Year holiday.
Country
China
