PVC volatility is lower, and it is difficult to rise sharply in the short term

In terms of news, international PVC prices continued to fall
this week.
FD spot price was 805 euros / ton, down 5 euros from the previous month; FD futures were quoted at $1,031, down $7 from the previous month; U.
S.
export prices (FAS Houston) were at $765, down $40 month-on-month, CFR China was trading at $855, down $25, CFR Southeast Asia was trading at $860, down $20, and CFR India was trading at $890, down $20
.
International PVC prices have fallen across the board, which is expected to suppress
domestic prices.

Spot market: the price of Qilu Chemical City calcium carbide method 5 type was reduced by 20 yuan / ton, the quotation was 6780 yuan / ton (including tax self-pickup), the price of ethylene Qilu S700 was reduced by 20 yuan / ton, the quotation was 6980 yuan / ton, the price of S1000 was reduced by 10 yuan / ton, and the quotation was 6940 yuan / ton
.

Warehouse receipt inventory: the exchange warehouse receipt reported 2000 lots, which is in the historical median area, +0 lots
within the day.
Main positions: The top 20 long positions in the main contract are 110045 lots -5079 lots, short positions are 113003 lots, -10706 lots, and net long positions are -2958 lots, +5627 lots
.

Summary: The Inner Mongolia Emergency Management Department began to carry out overt investigation and covert visits to key areas and key hazardous chemical enterprises in 12 league cities in the region
.
Increased safety production inspections may reduce the operating rate of production enterprises
.
On July 19, 2019, the Indian Ministry of Finance announced a general reduction of 50% in the anti-dumping duty rate on PVC imports from China, which is expected to increase the export volume
of PVC.
In addition, calcium carbide supply was tight and prices were firm, while social inventories of PVC continued to decline
month-on-month.
These factors support the price of PVC
.
However, the Asian, European and American markets PVC have declined, and it is still in the off-season of PVC demand, and the light transaction of downstream demand in the general spot market has put certain pressure
on the price of PVC.
Next week, most PVC production enterprises have basically completed maintenance, the market supply is sufficient, while downstream enterprise orders are reduced, enterprises start work at low load, and at the same time the procurement of raw materials is more cautious, generally maintaining just purchases
.
Therefore, it is difficult for PVC to get out of the pattern of sharp rise in the short term, and operationally, it is recommended that investors continue to focus on range-bound strategies
.