- A Chinese trader revealed to SSESSMENTS.COM that the majority of converters in China is not actively seeking import cargoes, deeming current offers from suppliers too high to be workable. Skyrocketing prices of import PP cargoes are discouraging buyers from making fresh purchases; thus, generating bearish sentiment for July shipment. However, the trader voiced out that market sentiment will turn bullish in the days to come if futures prices continue their bullish run. From the company’s end, the trader is offering Middle Eastern PP Homo Raffia between $880-900/ton on LC at sight, CIF China Main Port basis. As for spot import cargoes, the trader said that suppliers have pre-sold some of their allocations to converters, and are currently dealing with the deliveries. After securing sufficient volumes to cover up monthly production, converters only place orders on a hand-to-mouth basis. Meanwhile, in the domestic market, the trader noted that spot prices are relatively stable on a weekly comparison, despite the recent gain in the futures market.
- As of Tuesday, June 30, SSESSMENTS.COM noted that September 2020 polypropylene (PP) prices on the Dalian Commodity Exchange posted an increase of CNY85/ton ($12/ton) as observed at 2 PM (GMT+8), open at CNY7,382/ton ($1,043/ton) in morning trading session.
