China Morning Snapshot - 21 September 2018

Dalian Commodity Exchange started the final trading day of the week on a firm note, however, par most of the gain by the break-time. The softness in futures trading does not appear to have any impact on the spot market, which extended the firming trend.

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

Total inventories at Sinopec and CNPC’s warehouses dropped 30,000 tons from the previous day to 620,000 tons as on 21 September 2018. 

Sentiment in the domestic market is healthy, sources said. Buyers are requesting for parcels to be delivered by the end of next week with some minor discount. Traders, therefore, believed that converters might continue buying to the last minutes.

“The second week of October, when players returned from the National Day holiday might be dull. However, we remain hopeful that buying interest could resume by the second half of October,” a trader said.