China Morning Snapshot – 13 March 2019

Dalian Commodity Exchange remains in the positive territory this morning, however, the market is lack of a strong push. 

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

Total inventories at Sinopec and CNPC’s warehouses digested 30,000 tons from the previous trading day to 950,000 tons as on 13 March 2019.

While trading activities are steady, there has been a growing expectation that local PP and PE markets are capped from any drastic surge in the near-term given the conservative stance among converters and the persistent bloated inventory levels.

“Our sales drop slightly compared to the beginning of the week. Sentiment might not deteriorate too much but inventories must be digested quicker in order to shift the market,” a trader said.