PVC high and wide oscillation center of gravity slightly increased

From a fundamental point of view, in terms of cost, calcium carbide rises to support PVC futures prices; Supply-side inventories continue to decline; In terms of production capacity, due to the impact of environmental protection policies and "supply-side reform", the market is expected to decrease
in the future.

In terms of downstream demand, the lagging release of building materials demand lays the actual demand for the peak season cycle without a cliff-like decline, and the market can still be expected
in this year's peak season.
However, there are also some risks of pullback, such as the new trend of environmental protection policies, and the government strictly ordering environmental protection policies to be "one-size-fits-all"; The current peak season is not coming, and downstream demand may be insufficient
.

From the perspective of technical indicators, with the continuous rise of the futures index, MACD has shown a clear pullback state, and the current futures price is in the top divergence stage, and the risk of short-term pullback is greater
.

Based on the above analysis, Sun Yiming of Zhaojin Futures Research Institute said that although it is believed that PVC may face a certain degree of correction in the short term, in the medium and long term with the arrival of the peak season, PVC downstream demand has begun to gradually release, and the forward price of PVC will form a strong support, so it is still bullish on the medium and long-term PVC market
.