China Morning Snapshot – 01 April 2021

Dalian Commodity Exchange for both PP and PE poses stronger rebound trend throughout the morning session. 

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

Due to the month-end closing, total inventories at Sinopec and CNPC’s warehouses piled up 30,000 tons in the previous day to 845,000 tons as of 1 April 2021.

Apparently, buyers become more willing to make new purchases after additional price cuts from local producers, which eases concerns over the accumulating inventory levels ahead of the long weekend holiday.

“This is the third straight day local PP and PE prices move lower, and buyers are convinced that sellers would introduce a firmer stance on the support of the resilient futures market. Sales are smooth this morning,” a trader said.