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China Morning Snapshot – 28 July 2021China Morning Snapshot – 28 July 2021 |
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Both PP and LLDPE contracts settled the morning session in the positive territory as the market gradually recovers from the recent flood. However, the rebound seems to lack momentum.
Details on the spot and futures prices are shown in the following table:
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28 July 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 2109 |
CNY 8450 |
USD 1149 |
+CNY 21 |
+USD 3 |
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LLDPE 2109 |
CNY 8215 |
USD 1117 |
+CNY 40 |
+USD 6 |
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Spot Domestic Prices (EXW China, Cash equivalent) |
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PPH (East China) |
CNY 8450-8550 |
USD 1149-1162 |
+CNY 50 |
+USD 8 |
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LLDPE (North China) |
CNY 8150-8350 |
USD 1108-1135 |
Stable |
Stable |
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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 reduced 5,000 tons from the previous day to705,000 tons as of 28 July 2021.
The rebound on Dalian Commodity Exchange encourages buyers to return to make some replenishment, though with caution. Market participants continue to monitor the movement of the In-Fa typhoon as it moves toward the Shandong area, which could potentially push customers here sidelines in the next couple of days.
In the meantime, Chinese suppliers are more active in directing PP and LLDPE cargoes to the export market for better profit margins.
Country
China
