China Morning Snapshot – 11 January 2021

Dalian Commodity Exchange for both PP and PE opened with a rebound trend however retreated toward the end of the morning session. 

Details on the spot and futures prices are shown in the following table:

Total inventories at Sinopec and CNPC’s warehouses piled up 90,000 tons throughout the weekend to715,000 tons as of 11 January 2021.

There is limited movement in the domestic spot market as customers continue to adopt the wait-and-see stance following the weakness in futures trading. Players are still not seeing signs of pre-Lunar New Year replenishment activities, which becomes a big concern.

In the meantime, manufacturers in Ningbo are offering cash rewards between CNY1500-1800 to each employee who elects to stay during the Lunar New Year festival instead of traveling back home. Besides, other incentives including a shopping voucher of CNY500, meals, and company activities.