China Morning Snapshot – 12 April 2019
China Morning Snapshot – 12 April 2019
LL C4 Film PPH Raf
Trading activities on Dalian Commodity exchange are rather sluggish this morning and both PP and LLDPE contracts for September delivery loses steam.
Details on the spot and futures prices are shown in the following table:
|
11 April 2019 |
Prices in CNY |
USD Equivalent |
Changes in CNY |
Changes in USD |
|
|
Dalian Commodity Exchange (Mid-day closing) |
|
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|
PP 1909 |
CNY 8778 |
USD 1126 |
-CNY 6 |
-USD 1 |
|
|
LLDPE 1909 |
CNY 8530 |
USD 1094 |
0 |
0 |
|
|
Spot Domestic Prices (EXW China, Cash equivalent) |
|
|
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|
PPH (East China) |
CNY 8900-9050 |
USD 1142-1161 |
Stable |
Stable |
|
|
LLDPE (North China) |
CNY 8650-8750 |
USD 1110-1122 |
-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 6.72 |
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Total inventories at Sinopec and CNPC’s warehouses digested only 5,000 tons from the previous day to 875,000 tons as on 12 April 2019.
Customers have made comfortable purchases earlier this week and decided to slow down a little toward the weekend. While there are some discounts on the spot PP and PE cargoes, sources believed that the constant firming import market would support the local sentiment in the coming week.
“Demand for import cargoes were not strong in March and we fear that import arrival in May might drop visibly. As a result, we hope domestic prices would not weaken further,” a trader commented.