China Morning Snapshot – 16 December 2020
China Morning Snapshot – 16 December 2020
Main trading contracts on Dalian Commodity Exchange has been changed to May 2021 delivery (2105) as of today. Both PP and LLDPE contracts extending the downtrend to conclude the morning session in the red.
Details on the spot and futures prices are shown in the following table:
|
16 December 2020 |
Prices in CNY |
USD Equivalent |
Changes in CNY |
Changes in USD |
|
Combined and reported by CommoPlast |
||||
|
Dalian Commodity Exchange (Mid-day closing) |
||||
|
PP 2105 |
CNY 8254 |
USD 1117 |
-CNY 90 |
-USD 14 |
|
LLDPE 2105 |
CNY 7810 |
USD 1057 |
-CNY 75 |
-USD 11 |
|
Spot Domestic Prices (EXW China, Cash equivalent) |
||||
|
PPH (East China) |
CNY 8450-8550 |
USD 1143-1157 |
-CNY 50 |
-USD 8 |
|
LLDPE (North China) |
CNY 7900-8100 |
USD 1069-1096 |
-CNY 50-100 |
-USD 8-15 |
|
**All USD equivalent prices are exclusive of 13% VAT |
||||
The total inventories at Sinopec and CNPC’s warehouses digested only 5,000 tons in the previous trading day to approximately 645,000 tons as of 16 December 2020.
There are limited movements in the domestic spot market this morning with buyers sourcing only in small quantities while waiting for additional discounts. Sources said that a number of woven bags manufacturers in Eastern China are operating at 50% capacity or less instead of full shut down due to the electricity shortages.