Downstream demand recovered well PVC prices were supported

News: 1.
As of the week of July 27, the domestic PVC social inventory decreased by 0.
46% month-on-month, 12.
82% year-on-year, in terms of East China, it increased by 2.
37% month-on-month and decreased by 11.
34% year-on-year, and South China decreased by 11.
30% month-on-month and 18.
81%
year-on-year.
East China stocks are 211,900 tons, South China 47,900 tons
.
2.
Among the 30 sample enterprises of Longzhong Information last week, the production capacity involved 15.
01 million tons, and the operating rate increased this week, and the maintenance was completed
one after another.
The operating rate was approximately 86.
9%, and the operating rate was revised up by 2.
3%.

Market quotation: the mainstream price of SG-5 in Changzhou market in East China is 6620 yuan / ton, +100
.

Warehouse receipt inventory: 338 warehouse receipts, +0
.

Main positions: the top 20 long positions 99527, -2177, short positions 110861, -1501
.
Increased
headroom.

Summary: Asian demand is basically stable, and Formosa Plastics raised its quotation in August to support
PVC.
Domestically, the maintenance of domestic production enterprises continued
.
Market supply is expected to decrease, but imports rose sharply in June and domestic supply increased
.
In terms of demand, in June, the apparent demand for PVC continued to rise year-on-year, and was higher than the same period last year, indicating that downstream rigid demand is still there
.
Social inventories continued to fall, indicating that PVC downstream demand recovered well, supporting the price of PVC
.
In terms of operation, it is recommended that investors can set a take profit in their hands and hold
them cautiously.