Raw material prices once pulled back sharply, and rubber futures prices continued to close down

News: 1.
According to the statistics of the First Commercial Vehicle Network, in October 2020, China's heavy-duty truck market sold 129,000 units, down 14.
3% month-on-month and up 41% year-on-year; Cumulative sales in the heavy-duty truck market from January to October reached approximately 1.
365 million units, a cumulative increase of 39% y/y, and a net increase of more than 380,000 units
.
2.
According to Longzhong Information, as of the week of November 5, the operating rate of semi-steel tire sample manufacturers was 71.
67%, up 0.
18% month-on-month and 3.
91% year-on-year; The operating rate of all-steel tire sample manufacturers was 75.
91%, up 0.
17% month-on-month and 8.
67%
year-on-year.
3.
General Administration of Customs: China's rubber imports in October increased by 34% year-on-year to 671,000 tons
.

Market quotation: Shanghai market 19 years state-owned full latex reported 13050 (-200) yuan / ton, Vietnam 3L reported 13100 (-50) yuan / ton, Thailand No.
3 tobacco film reported 18300 (+0) yuan / ton
.
Qingdao market STR20 stock spot reported 1590 (+0) US dollars / ton, Qingdao market STR20 November cargo reported 1580 (+0) US dollars / ton
.
Thailand Hat Yai raw material market field glue 47 (+0.
2) baht/kg; Cup glue 38.
2 (-0.
25) baht/kg
.
Domestic Yunnan Xishuangbanna glue into the dry rubber factory 12.
3-12.
7 (+0/+0) yuan/kg; Glue into the latex factory 12.
8 (+0) yuan/kg
.
Hainan state-owned glue into the whole dairy plant to produce whole milk 12800 (+300) yuan / ton, into the concentrated dairy factory to produce concentrated milk 12500 (-500) yuan / ton
.
Synthetic rubber: Qilu petrochemical styrene-butadiene rubber in North China 1502 market price 11400 (+0) yuan / ton; The market price of cis-butadiene rubber is 10800 (+0) yuan / ton
.

Warehouse receipt inventory: RU warehouse receipt 226160 tons, - 300 tons; NR warehouse receipts 39373 tons, + 807 tons
.
Main positions: RU2101 Top 20 long positions 89749, +1213; short positions 113161, -4764; increase and decrease short, net space decreases
.

Summary: In the early stage, there was a lot of rainfall in the main production areas at home and abroad, resulting in tight raw materials, especially in the Hainan production area, the successive typhoon, the rainfall weather affected significantly, it was difficult for rubber farmers to carry out normally, and the competition for raw materials was obvious
.
Recently, with the improvement of the weather raw material production rebound, raw material prices once sharply retreated, the current glue into the whole dairy plant price stabilized and rebounded, into the concentrated dairy plant price is slightly weaker and discounted to the whole dairy plant purchase price, conducive to the increase
of full latex production.
On the demand side, the operating rate of tire factories continued to increase month-on-month, and was significantly higher than the same period last year, orders remained stable and improving, and domestic heavy-duty truck sales increased year-on-year although they decreased month-on-month
.
Although the recent weather is conducive to rubber tapping, there is still support for futures prices due to the lack of deliveries under the
year-round production reduction.
On the market, the RU2101 contract reduced its position to the downside, focusing on the support around 13850 in the short term, and it is recommended to trade in the 13850-14400 range; The NR2101 contract focuses on the 10250 line of support and is recommended to trade
in the 10250-10700 range.