China Morning Snapshot – 22 March 2019
China Morning Snapshot – 22 March 2019
LL C4 Film PPH Inj PPH Raf
Futures contracts on Dalian Commodity Exchange slip back to the negative territory this morning, signalling the lack of solid support for a more sustainable rebound.
Details on the spot and futures prices are shown in the following table:
|
22 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 8575 |
USD 1103 |
-CNY 4 |
-USD 0.6 |
|
|
LLDPE 1905 |
CNY 8405 |
USD 1081 |
-CNY 5 |
-USD 0.7 |
|
|
Spot Domestic Prices (EXW China, Cash equivalent) |
|
|
|||
|
PPH (East China) |
CNY 8750-8850 |
USD 1126-1139 |
Stable |
Stable |
|
|
LLDPE (North China) |
CNY 8550-8650 |
USD 1100-1113 |
Stable |
Stable |
|
|
**All USD equivalent prices are exclusive of 16% VAT |
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|
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Exchange rate: USD 1 = CNY 6.70 |
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Total inventories at Sinopec and CNPC’s warehouses digested20,000 tons day-on-day to 930,000 tons as on 22 March 2019.
On the final trading day of the week, buyers become more concern on the inventories levels at major local producers’ warehouses. Sources said at this rate, the total stocks might jump to the 1 million tons by next week, making it more difficult to lift spot offers.
“We are looking towards April with hope that demand will pick up. Supply remains comfortable in the local ground. At the moment, buyers might not prefer import cargoes,” a trader said.