Sluggish Chinese domestic PPGI market indicates decline

Influenced by the Labor Day holiday, activity has been sluggish in the domestic PPGI market in the past week. Many traders are less confident about the prospects for the market in the coming period and are maintaining a wait-and-see attitude. In general, demand in the domestic PPGI market has not yet been fully released, and so most traders are expecting further decreases in the market. Some traders have reportedly concluded transactions by cutting prices in deals by RMB 20/mt ($3/mt) in order to accelerate the destocking process. It is expected that the Chinese domestic PPGI market will continue to follow a weak trend in the coming seven days.