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PVC is under weak pressure Watch for demand recovery

 Last Update: 2022-12-25
 Source: Internet
 Author: User

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PVC spot and futures prices fell
last week.
Last week, the main futures contract switched to the 09 contract, and for the far month contract, the market has been trading weak reality and strong expectation logic
.

PVC

From a long-term perspective, the completed area of domestic real estate has peaked, and PVC demand is facing weakening pressure
.
Moreover, from the perspective of South China, which has been unblocked, downstream construction has not improved significantly, and demand is facing weakening pressure
in the later period.

In terms of industrial chain, at present, upstream blue charcoal and calcium carbide are running at a high level, sufficient supply, weak prices, and the profit distribution of the chlor-alkali chemical industry chain is once again tilted downstream
.

Overall, there is an expectation of recovery in market demand in the second quarter, which has not yet been exerted and needs a time process, PVC futures fluctuate at a high level, and the support near the previous low is concerned
.
Medium and long-term prices are under pressure to weaken, and it is recommended to continue to hold short orders in the early stage
.
Continue to observe the recovery of demand in the later stage, if the demand recovery is less than expected, PVC faces further downside risks
.

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