China Morning Snapshot – 16 April 2021

The strengthening international equity market continues to lend support to the Dalian Commodity Exchange. Major PP and LLDPE contracts for May delivery concluded the morning session with additional gains.

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

Total inventories at Sinopec and CNPC’s reduced 40,000 tons day-on-day to 875,000 tons as of 16 April 2021.

Trading activities are steady in the local ground during the early trading hours. The firmer spot offers, however, do face stiff resistance from buyers, who are now negotiating for lower prices to enter deals. 

There have been heavy discussions among market players pertaining to the market outlook in May, from which a number of opinions calling for a sharp reduction in import PE prices. In the meantime, buyers are not very optimistic about the local market trend citing the potential buildup in inventories throughout the Labor day holiday.