China Morning Snapshot – 12 March 2019
China Morning Snapshot – 12 March 2019
LL C4 Film PPH Inj PPH Raf
May delivery contracts for both PP and LLDPE climb to the positive territory this morning and lighten the sentiment in domestic spot ground.
Details on the spot and futures prices are shown in the following table:
|
12 March 2019 |
Prices in CNY |
USD Equivalent |
Changes in CNY |
Changes in USD |
|
|
Dalian Commodity Exchange (Mid-day closing) |
|
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|
PP 1905 |
CNY 8846 |
USD 1136 |
+CNY 96 |
+USD 14 |
|
|
LLDPE 1905 |
CNY 8705 |
USD 1118 |
+CNY 60 |
+USD 9 |
|
|
Spot Domestic Prices (EXW China, Cash equivalent) |
|
|
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|
PPH (East China) |
CNY 8850-8900 |
USD 1137-1143 |
+CNY 100 |
+USD 15 |
|
|
LLDPE (North China) |
CNY 8750-8850 |
USD 1124-1137 |
+CNY 100 |
+USD 15 |
|
|
**All USD equivalent prices are exclusive of 16% VAT |
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|
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Exchange rate: USD 1 = CNY 6.71 |
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Total inventories at Sinopec and CNPC’s warehouses reduced 30,000 tons day-on-day to 980,000 tons as on 12 March 2019.
Despite the positive development in the futures market, customers generally remain conservative about large purchases due to soft end product orders, except for the agricultural film sector.
“Customers in Northern China are still very active. However, prices are unable to increase sharply given the current upstream situation,” a trader said.