China Morning Snapshot – 09 April 2019
China Morning Snapshot – 09 April 2019
May delivery contract for both PP and LLDPE has ended and today is the first trading day for September delivery contract. Though the futures prices remain firm this morning, the momentum in the local ground is losing steam.
Details on the spot and futures prices are shown in the following table:
|
09 April 2019 |
Prices in CNY |
USD Equivalent |
Changes in CNY |
Changes in USD |
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|
Dalian Commodity Exchange (Mid-day closing) |
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|
PP 1909 |
CNY 8791 |
USD 1129 |
+CNY 13 |
+USD 2 |
|
|
LLDPE 1909 |
CNY 8530 |
USD 1096 |
+CNY 15 |
+USD 2 |
|
|
Spot Domestic Prices (EXW China, Cash equivalent) |
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|
PPH (East China) |
CNY 8950-9050 |
USD 1150-1163 |
-CNY 50 |
-USD 7 |
|
|
LLDPE (North China) |
CNY 8700-8800 |
USD 1119-1131 |
-CNY 50 |
-USD 7 |
|
|
**All USD equivalent prices are exclusive of 16% VAT |
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Exchange rate: USD 1 = CNY 6.71 |
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Total inventories at Sinopec and CNPC’s warehouses digested 45,000 tons day on day to 930,000 tons as on 09 April 2019.
Apparently, trading activities in Southern China is reportedly stronger than other areas. Customers here are running low on inventories and tend to make replenishment, especially for LLDPE and LDPE film, sources said.
“The improvement in the futures trading has supported the sentiment to a certain extend. We expect the trading activities to continue to improve in the coming weeks and buyers might need to make necessary procurement before the Labor Day holiday,” a trader commented.