The low recovery of continuous plastic testing maintained a range-bound pattern

News: CFR Northeast Asia 710 US dollars / ton up 30, CFR Southeast Asia 770 US dollars / ton stable
.

Spot market: Domestic polyethylene market prices continue to decline
.
In terms of petrochemicals, the sales company's low-pressure price was partially reduced, with a range of about 100 yuan / ton
.
Linear futures rose first and then declined, the trend was weak, the attitude of merchants was bearish, the offer was lower, and the actual order transaction was average
.
As of the noon close, the North China market fell by 50 yuan / ton; East China and South China markets dropped by 50-100 yuan / ton
.

Warehouse receipt inventory: exchange warehouse receipt reported 1283 lots, intraday - 79 lots; In the historical median zone
.
Main position: The top 20 long positions in the main contract are 208872 lots, +13709 lots, short positions are 213207 lots, +10488 lots, and the net position is -4335 lots, with a decrease
in net shorting.

Summary: The Sino-US trade dispute is showing signs of easing, and after entering late October, the downstream demand for plastics has gradually recovered
.
This has some support for LLDPE, however, the International Monetary Fund lowered the global economic growth rate in 2019 to 3%, the lowest growth rate in 10 years, which hit market confidence, and the second round of environmental inspections opened, downstream enterprises were cautious in purchasing, and domestic PE social inventories rebounded
slightly.
In addition, the weakening trend of crude oil and the continuation of the weakening of ethylene prices in Asia are expected to suppress LLDPE
.
It is expected that Liansu may maintain a range-bound pattern
.
In terms of operation, investors have a short order in their hands to reduce their holdings and drop their pockets
.