Demand recovery is expected to rekindle PVC opens high and goes higher

News: Domestic PVC production in March 2020 was 1.
7624 million tons, an increase of 18.
31% from February and 5.
03% from last year; The cumulative output from January to March was 5.
0422 million tons, an increase of 1.
87%
over last year.
In March, Russia's pure PVC production was 89,900 tons, compared with 85,400 tons a month ago, and from January to March, the total PVC production increased to 267,100 tons, compared with 260,200 tons in the same period last year, an increase of 3%
year-on-year.

PVC floor, also known as "light floor" or "light floor", it is a very popular new type of light floor decoration material in the world today, compared to the wood floor, PVC floor is better in price and performance
.
Due to its excellent characteristics, PVC flooring can form an alternative
to other types of flooring products.
Compared with developed countries, the scale of China's PVC flooring market is still at a low level
.
In 2017, it was only 4.
06%, and it is expected that PVC flooring is expected to significantly replace laminate flooring and composite flooring in the next 5-10 years, thereby significantly increasing the market share to about
8%-9%.

Spot market: Qilu Chemical City PVC market weak operation, intraday price compared with before the holiday increased by 100-150 yuan / ton, calcium carbide method 5 type material price is about 5550 yuan / ton, ethylene method S1000 price is 5620 yuan / ton, S700 price is 5670 yuan / ton, the transaction situation is general
.

Warehouse receipt inventory: exchange warehouse receipts reported 2462 lots, +0 lots
within the day.
Main position: the top 20 long positions in the main contract are 123399 lots, +1320 lots, short positions are 125258 lots, +1412 lots, net positions are -1859 lots, and the net margin is reduced
.

Summary: During the short holiday, the overseas epidemic seems to show signs of easing, and many countries are expected to lift traffic restrictions, which rekindles the expectation of demand recovery, while major oil producers implement production reduction commitments, the growth rate of US crude oil inventories slows down, and the continuous sharp rebound of international oil prices is positive for the market
.
In the industrial chain, Asian spot prices continue to fall, but domestic PVC social inventories have decreased, and it is expected that after entering May, PVC downstream demand is expected to recover
.
In terms of raw materials, domestic calcium carbide prices continued to fall, but the decline narrowed from last week, while Asian ethylene and vinyl chloride prices rebounded
.
These factors support prices
.