[FREE] China Morning Snapshot – 08 October 2021

[CommoPlast] - Both PP and LLDPE contracts for January 2022 delivery briefly touched the CNY10,000 mark during the early trading hours but retreated slightly by the end of the morning session.

Details on the spot and futures prices are shown in the following table:

Throughout the holiday, total stocks at key local producers’ warehouses piled up 250,000 tons to 875,000 tons as of 08 October 2021.

The market opens with a bang. Both traders and converters are active in making replenishment in expectation of a prolonged uptrend, especially with more manufacturers are ramping up operating rates following the disruptive September due to the electricity shortages. 

“Many converters did not wait until the market reopens to make replenishment. We have been selling a good quantity over the past couple of days. We think with coal supply improves, demand from downstream would also pick up,” a trader commented.