Tag Archives | Dalian Commodity Exchange

China, Chemicals And Interest-Rate Arbitrage

By John Richardson

WHACK A MOLE on the head and another one pops up somewhere else. This is  tremendous fun as an arcade game but not that much fun, metaphorically speaking, for the Chinese government.

“The commodity-backed loans at the …

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China Deflation

The second of our series of blog posts on China’s economic challenges over the next 12-18 months focuses on deflation.

 

By John Richardson

DEFLATION has now become a major concern for the Chinese economy following the release of official …

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An All Mighty Dalian Muddle

By John Richardson

UNDERSTANDING the Dalian Commodity Exchange’s futures contract in RMB-priced linear low-density polyethylene ((LLDPE) requires an understanding of what the traders are up to at any particular point in time, as this is almost entirely a speculators’ market.

So, …

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Dalian Reflects China-EU Risks

By John Richardson

AT first glance it might seem strange that the Dalian Commodity Exchange’s linear low-density polyethylene (LLDPE) futures contract has fluctuated so dramatically on news emanating from the Eurozone.

The May 2012 contract – the one most actively traded …

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Dalian offers hope …but naphtha continues to climb

By Malini Hariharan

The good news for polyolefin producers is that prices in China are inching up supported by an upward movement in the key linear low-density polyethylene (lldPE) futures contract on the Dalian Commodity Exchange (DCE).

The arbitrage window …

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China Polyolefins Divorced From Fundamentals

A permanent separation?

Source of picture: edu.com

 

By John Richardson

IT IS pretty easy to predict specific events that will cause declines in polyolefins pricing in China next year thanks to the big role that macro-economics now plays in …

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Petchems And Tomorow’s OPEC Meeting

By John Richardson

THE next OPEC meeting – which takes place in Ecuador this Saturday (11 December) – is crucial for petrochemicals for two reasons.

Firstly, the crude market has turned bullish recently as a result of the early onset …

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December Polyolefin Price-Rise Bid Will Fail

By John Richardson and Malini Hariharan in Shanghai

A TWO-TIER China polyolefin market had developed in China over the last couple of years – but the $64,000 question right now is: At which of these two levels will most business …

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Chemicals And Polymer Prices Behave As We Predicted

By John Richardson

AS the blog had anticipated would happen, there were sharp retreats in some chemicals and polymers pricing late last week on the steep declines in equity and crude prices.

Polyethylene (PE) fell by $70-130/tonne, according to our colleagues …

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Facts, Fiction And Price-Rise Sustainability

Source of picture: tycoonreport.com

 

 

By John Richardson

This is a very dangerous time for petrochemicals producers as they attempt to separate real, sustainable demand from feedstock-cost related price rises and speculation.

A bubble – as we discussed yesterday …

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