PVC shrinkage and position reduction, futures price high volatility

News: 1.
Taiwan Formosa Plastics June shipping schedule quotation rose by 40-100 US dollars / ton, CFR India rose 100 US dollars to 1220 US dollars / ton, CFR China rose 40 US dollars / ton to 1100 US dollars / ton, FOB at 1060 US dollars / ton
.
Tight shipping and rising freight rates, market arrival delays and tight supply, Indian market demand remained strong, South Korean sources to the Indian market quotations rose $100/ton
last week.
2.
Yantai Wanhua was put into operation in November, and the expected output will increase to 70% by the end of November, and the supply is expected to ease, and the increase rate will slow down
.

Market quotation: the mainstream price of SG-5 in Changzhou market in East China is 7950 yuan / ton, +300
.

Warehouse receipt inventory: 1494 warehouse receipts, -80 sheets
.
Main positions: Top 20 long positions 189247, -3043; short positions 209194, -2713
.
Increased
headroom.

Summary: In November, PVC has new installations and is planned to be put into production, and it is expected that the supply will gradually increase in the later period to form a certain suppression
of prices.
However, affected by the maintenance and temporary shutdown of overseas installations, the supply of PVC in Europe and the United States has decreased, the price trend is firm, Taiwan Formosa plans to raise the price of PVC in Asia, domestic calcium carbide prices continue to rise, and domestic PVC social inventories have decreased month-on-month, these factors have supported prices
.
The fundamentals are long and short, and after continuous rise, short-term prices have been at a high level
.
In operation, it is not recommended that investors chase higher, but they can set a take profit in the early stage and hold
it cautiously.