China Morning Snapshot – 03 April 2019
China Morning Snapshot – 03 April 2019
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Both PPand LLDPE contracts for May delivery on Dalian Commodity Exchange retain the firmness throughout the night trading session to this morning. However, the market does not seem to have enough steam.
Details on the spot and futures prices are shown in the following table:
|
03 April 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 8839 |
USD 1136 |
+CNY 83 |
+USD 12 |
|
|
LLDPE 1905 |
CNY 8495 |
USD 1091 |
+CNY 30 |
+USD 4 |
|
|
Spot Domestic Prices (EXW China, Cash equivalent) |
|
|
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|
PPH (East China) |
CNY 8800-8900 |
USD 1131-1143 |
+CNY 50 |
+USD 7 |
|
|
LLDPE (North China) |
CNY 8600-8700 |
USD 1105-1118 |
+CNY 50 |
+USD 7 |
|
|
**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 digested30,000 tons from the previous trading day to 870,000 tons as on 03 April 2019.
Inquiries for local homo-PP show a visible pick up during the early trading hours today following the unexpected shutdown at CNOOC and Shell Petrochemical Co Ltd (CSPC) (Phase II) PP unit due to an unexpected technical issue. The 4000,000 tons/year line is expected to remain off-line for approximately a week.
“The shutdown might trim local supply a bit. We see buyers are also sending inquiries for import materials. This is a good indication and we hope the sentiment continues to improve,” a trader said.