China Morning Snapshot – 01 June 2021

Major contracts on Dalian Commodity Exchange settled the morning session on the positive territory, signaling the potential return of investors after weeks of sluggish trading.

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

Total inventories at Sinopec and CNPC’s warehouses piled up 30,000 tons from the previous day to 760,000 tons as of 01 June 2021.

In contrast to the positive sentiment observed on the Dalian Commodity Exchange and the Shenhua Auction Platform, buying activities in the domestic spot market are sluggish as customers resist higher price levels. 

“Customers in Southern China are more willing to make small purchases for LLDPE film than other areas. Meanwhile, the export opportunity for homo-PP remains timid due to the high local prices and weak overseas demand,” a trader reported.