China Morning Snapshot – 25 March 2019
China Morning Snapshot – 25 March 2019
LL C4 Film PPH Inj PPH Raf
Futures contracts for both PP and LLDPE rebounded moderately this morning after a rocky start during the early trading hours.
Details on the spot and futures prices are shown in the following table:
|
25 March 2019 |
Prices in CNY |
USD Equivalent |
Changes in CNY |
Changes in USD |
|
|
Dalian Commodity Exchange (Mid-day closing) |
|
||||
|
PP 1905 |
CNY 8624 |
USD 1108 |
+CNY 34 |
+USD 5 |
|
|
LLDPE 1905 |
CNY 8430 |
USD 1083 |
+CNY 15 |
+USD 2 |
|
|
Spot Domestic Prices (EXW China, Cash equivalent) |
|
|
|||
|
PPH (East China) |
CNY 8750-8900 |
USD 1124-1143 |
+CNY 50 |
+USD 7 |
|
|
LLDPE (North China) |
CNY 8600-8650 |
USD 1105-1111 |
+CNY 50 |
+USD 7 |
|
|
**All USD equivalent prices are exclusive of 16% VAT |
|
|
|
||
|
Exchange rate: USD 1 = CNY 6.71 |
|||||
Total inventories at Sinopec and CNPC’s warehouses piled up 20,000 tons throughout the weekend to 950,000 tons as on 25 March 2019. Better deals concluded during late last Friday eased the inventories buildup and support the sentiment.
Many trading houses started implementing the 13% VAT rate, however, customers remain pretty calm when it comes to new purchases. Players are monitoring market movement very closely for any sign of an uptick in demand, knowing that local supply remain comfortable at the moment.