The lower support is strong, and the continuous plastic shock goes higher

News: The PE plant with a total production capacity of 670,000 tons will start stopping today and is expected to start on July 23
.
Yanshan Petrochemical PE old high-voltage second line 60,000 tons/year plant is scheduled to be shut down for repair from today, about 15 days
.

Spot market: Polyethylene market prices rise
.
The sales order part of the main region rose by 50-100 yuan / ton, the market quotation followed up, the merchant mentality improved, some of the appropriate purchases, the transaction was
acceptable.
As of the midday close, the main regional market rose 50-150 yuan / ton
.

Warehouse receipt inventory: Exchange warehouse receipts reported 270 lots, today -0 lots
.

Main position: The top 20 long positions in the main contract are 265884 lots, +24331 lots, short positions are 265629 lots, +18305 lots, net positions are 255 lots, net short to net long
.

As the overseas epidemic has eased, the deregulation of many countries has boosted market confidence, and the extension of production cuts by major oil-producing countries has supported
the market.
Fundamentally, the significant increase in cracker production in Asia in June is expected to weigh on
ethylene prices.
The operating rate of downstream enterprises fell slightly, which is expected to also put a certain pressure
on prices.
However, the maintenance volume of domestic PE equipment in June increased compared with May, and the recent shutdown and maintenance of the equipment may reduce the market supply
.
The recovery in the transaction volume of Shenhua.
com auctions also supported the price
.
The rally is expected to continue
.