China Morning Snapshot – 08 September 2021
China Morning Snapshot – 08 September 2021
Major contract for January 2022 delivery continues to trade in the positive territory this morning while traders remain concerned over the coal shortages that would curtail coal-based PP, PE supply.
Details on the spot and futures prices are shown in the following table:
|
08 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) |
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|
PP 2201 |
CNY 8510 |
USD 1166 |
+CNY 64 |
+USD 10 |
|
LLDPE 2201 |
CNY 8515 |
USD 1166 |
+CNY 100 |
+USD 15 |
|
Spot Domestic Prices (EXW China, Cash equivalent) |
||||
|
PPH (East China) |
CNY 8450-8550 |
USD 1158-1171 |
Stable |
Stable |
|
LLDPE (North China) |
CNY 8350-8500 |
USD 1144-1164 |
+CNY 50-100 |
+USD 8-15 |
|
**All USD equivalent prices are exclusive of 13% VAT |
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Total inventories at Sinopec and CNPC’s warehouses reduced 30,000 tons day-on-day to 730,000 tons as of 08 September 2021.
With Dalian Commodity Exchange persist on the firming trend, arbitrage traders actively looking for competitive cargoes in the spot market, creating a rather healthy trading sentiment. However, sources noted that actual demand from manufacturers remains just stable and the spot PE market seems to have more support than PP thanks to the limited import arrival.