Limited Trading Activities Captured In China PS Market Due To Festival Season
- Local PS producers unbothered to adjust offers
- Buyers were halting procurement activities since holiday mood arise
- Market predicted to remain quiet after the holiday
In the week commencing June 22, China PS market showed limited trading activities due to the Dragon Boat Festival which takes place between June 25-27. Offers for GPPS Injection and HIPS Injection from the local producers in the country were reported stable over the week. One of the local producer's offers for GPPS Injection appeared on the high-end of the price range at CNY8,500/ton ($1,200/ton) on cash, EXW China basis and including 13% VAT. Despite this offer level was not in the previous week’s publication, according to the producer, the company's offers were stable week over week. Chinese PS producers stated that stable SM price was one of the reasons behind the pricing decision. Based on SSESSMENTS.COM pricing database, there were no deals concluded within this week. Likewise, with the shorter working week, no import offers captured.
Buying sentiment reported flat since buyers are on holiday mood. As there were only three working days within this week, converters tend to halt procurement activities. On the supply front, as of June 25, SM inventory in coastal China increased by 2,600 tons from last week, recorded at 322,100 tons. While from the traders’ end, during the same timeframe, the inventory increased by 1,600 tons, stood at 221,100 tons, SSESSMENTS.COM was told.
In the days to come, the market is predicted to remain quiet after the Dragon Boat Festival since it will need some time to fully restart after the long weekend. Once buyers back to their desks, they will stay on the sidelines to monitor and gauge the market direction before making decisions, as stated to SSESSMENTS.COM.
