China Morning Snapshot - 17 July 2018

Dalian Commodity Exchange loses momentum just on the second trading day of the week, closing lower by the end o the morning session. Details on the spot and futures prices are shown in the following table:

Domestic spot market sees little movement as players are slowing down to monitor further development on the futures ground. However, it appears that traders in Northern China area are having a better position in recent days as agricultural film converters continue placing small orders in preparation for the peak season.

“We managed to deplete some quantity for LLDPE and LDPE film and remain hopeful to see the better condition in August,” a trader said.

Local PP market is not sharing the same piece of cake, sources complained. At the moment, total inventories at Sinopec and CNPC’s warehouses reduced 25,000 tons day-on-day to approximate 710,000 tons as of 17 July 2018.