Liansu opens high and goes high, and holds more orders cautiously

News: The overall operating rate of agricultural film enterprises in April was -16.
4%
month-on-month.
In early April, mulch film production continued in March's peak season, and in the second half of the month, mulch film production gradually ended, orders decreased cumulatively, and construction started decreased significantly; Shed film production has entered the off-season, the production of mulch film has declined significantly, the demand for shed film is flat, the start is weak, and the overall operating rate of agricultural film has declined
.
The operating rate of all regions of the country has decreased
to varying degrees.

In March 2020, the operating rate of domestic pipe downstream factories increased by 26%
compared with February 2020.
From January to March 2020, the production of PE pipe materials increased by 11% compared with the same period in 2019 and 23%
over the same period in 2018.

Spot market: The domestic polyethylene market is mostly up
.
The opening price of the main regional sales company was raised, with a range of about 100-550 yuan / ton, and the market quotation rose with it, and the actual transaction was
acceptable.
By the midday close, the North China market rose 100-300 yuan / ton; East China market rose 150-300 yuan / ton; The South China market rose 100-350 yuan / ton
.

Warehouse receipt inventory: exchange warehouse receipts reported 164 lots, intraday -0 lots
.
Main position: The top 20 long positions in the main contract are 228747 lots, +21701 lots, short positions are 256193 lots, +13287 lots, and the net position is -27446 lots, with a decrease
in net shorting.

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 。 On the industrial chain, linear downstream demand has weakened, agricultural film demand has basically ended, shed mold demand has not yet begun, packaging film demand is basically stable, however, PE pipe production has increased significantly, and the output of plastic products in March has also increased significantly, indicating that downstream rigid demand is still there, and after entering May, the maintenance of the device has increased, which is expected to form a certain support
for continuous plastic.