China Morning Snapshot – 02 September 2021
China Morning Snapshot – 02 September 2021
Key contracts for January 2022 delivery settled the morning session higher, shrugging off the impact of the weak economic data and dwindling energy complex.
Details on the spot and futures prices are shown in the following table:
|
02 September 2021 |
Prices in CNY |
USD Equivalent |
Changes in CNY |
Changes in USD |
|
Combined and reported by CommoPlast |
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|
Dalian Commodity Exchange (Mid-day closing) |
||||
|
PP 2201 |
CNY 8285 |
USD 1135 |
+CNY 120 |
+USD 19 |
|
LLDPE 2201 |
CNY 8180 |
USD 1121 |
+CNY 150 |
+USD 23 |
|
Spot Domestic Prices (EXW China, Cash equivalent) |
||||
|
PPH (East China) |
CNY 8400-8500 |
USD 1151-1164 |
+CNY 50 |
+USD 8 |
|
LLDPE (North China) |
CNY 8150-8300 |
USD 1116-1137 |
+CNY 50 |
+USD 8 |
|
**All USD equivalent prices are exclusive of 13% VAT |
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Total stocks at Sinopec and CNPC’s warehouses fell 30,000 tons from the previous trading day to 730,000 tons as of 02 September 2021.
Firmer spot offers immediately face resistance from highly price-sensitive customers. More rumors emerge in the market pertaining to the potential impacts on coal-based producers after a coal mine was ordered to shut down for safety inspections that would curtail local supply.
“Manufacturers are not buying into the market talks. Thin profit margins force these customers to be very cautious. But we see arbitrage traders are more active,” a seller reported.