 Home > Chemicals Industry > Rubber Plastic News > Polypropylene (PP) pellets: futures are changing, what is the short-term trend of PP?

Polypropylene (PP) pellets: futures are changing, what is the short-term trend of PP?

 Last Update: 2022-08-25
 Source: Internet
 Author: User

Tags

strong flexible material

low resistance

Search more information of high quality chemicals, good prices and reliable suppliers, visit www.echemi.com

Since the beginning of November, polypropylene has been pulled up by the high futures and has risen continuously, but the good times are not long.
After a few days, the market has entered a fall mode due to the impact of downstream resistance to high prices and the fall of futures

Last week, the domestic polypropylene market continued to fluctuate and organize its trend.
In terms of international crude oil: the risks dissipated after the results of the US election, the positive news about the new crown vaccine may improve crude oil demand, and the positive signals released by OPEC+ production limit support oil prices.
A sharp rebound, PP cost-side support has strengthened

The futures fluctuated slightly, most of the petrochemical factories remained stable, and traders adjusted their offers accordingly

In terms of new units, the newly-launched Bora, Sinochem Phase II and Zhongke Refining and Chemical Units have been operating stably.
Yantai Wanhua and Dongming Petrochemical are expected to put in stock, and new production continues to be released

In terms of demand, the operating rate of the downstream BOPP industry remains at a high level of 60%, the film factory has sufficient orders, the operating rate of the plastic weaving industry has dropped slightly, the export of terminal home appliances has increased significantly, and the improvement in automobile sales still has strong support for demand

At present, the inventory structure of the industrial chain is reasonable, and some downstream inventories are lower than in previous years.
The disk is supported by spot prices in the short term.
Reasonable inventory levels are an important basis for maintaining high valuations.
Strong basis and low inventory are the two factors that maintain the disk rally.
Necessary conditions, the absence of one of these two conditions will basically end the rally

This article is an English version of an article which is originally in the Chinese language on echemi.com and is provided for information purposes only. This website makes no representation or warranty of any kind, either expressed or implied, as to the accuracy, completeness ownership or reliability of the article or any translations thereof. If you have any concerns or complaints relating to the article, please send an email, providing a detailed description of the concern or complaint, to service@echemi.com. A staff member will contact you within 5 working days. Once verified, infringing content will be removed immediately.