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China Morning Snapshot – 03 February 2021China Morning Snapshot – 03 February 2021 |
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Dalian Commodity Exchange inched slightly higher this morning, cautiously following the surge in the energy market.
Details on the spot and futures prices are shown in the following table:
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03 February 2021 |
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 8189 |
USD 1122 |
+CNY 18 |
+USD 3 |
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LLDPE 2105 |
CNY 7925 |
USD 1086 |
+CNY 65 |
+USD 10 |
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Spot Domestic Prices (EXW China, Cash equivalent) |
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PPH (East China) |
CNY 8250-8450 |
USD 1130-1158 |
-CNY 50 |
-USD 8 |
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LLDPE (North China) |
CNY 7850-8100 |
USD 1075-1110 |
+CNY 50 |
+USD 8 |
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**All USD equivalent prices are exclusive of 13% VAT |
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Total inventories at Sinopec and CNPC’s warehouses digested 30,000 tons day-on-day to 530,000 tons. (Correction: Total stocks sere at 560,000 tons on 2 February 2021. The previous Snapshot reported at 550,000 tons.).
There have not been major changes in terms of market sentiment in the local ground. Manufacturers have completed the pre-holiday replenishment as well as building up sufficient end-product inventories for the post-holiday period, and currently become less active. However, arbitrage traders continue to leverage the firming Dalian Commodity Exchange to make last minutes earnings before the holiday kickstarts.
Given the steady inventory digestion rates, it is expected that the local market would remain rangebound throughout the week. Players are waiting for additional development to gauge the potential market trend after the holiday.
Country
China
