The main force of Liansu opened high and went low, and the rebound magnitude remains to be seen

News: PE exports totaled 28,200 tons
in October 2019.
Among them, the export volume of LDPE was 08,500 tons, an increase of 26.
87% over the previous month; The export volume of HDPE was 16,300 tons, an increase of 89.
53% over the previous month; LLDPE exports were 0.
34 tons, an increase of 78.
95%
over the previous month.

Spot market: the domestic polyethylene market price adjusted
slightly.
The linear part of the main regional sales company increased the price by 50 yuan / ton, the low-pressure pipe part was reduced, and the rest was more stable
.
Linear futures fluctuated, merchants continued to wait and see, the offer adjusted slightly, the downstream sentiment improved, and the overall transaction of the market was acceptable
.
As of noon, the North China and East China markets adjusted 50-100 yuan / ton; The South China market is temporarily stable
.

Warehouse receipt inventory: exchange warehouse receipt reported 1061 lots, intraday - 0 lots; It is in the low-to-middle historical zone
.

Main position: The top 20 long positions in the main contract are 121893 lots, -3321 lots, short positions are 153289 lots, -1611 lots, net positions are -31396 lots, net space increases
.

Summary: 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, but crude oil rebounded strongly, China and the United States are expected to cancel tariffs in phases, and after entering late October, the demand for plastic agricultural film gradually rebounded, and the overall operating rate of agricultural film enterprises last week was +2.
6%
week-on-week.
At the same time, PE social inventories continued to fluctuate and fall, down 4.
09% month-on-month, while polyolefin inventories in major domestic ports also continued to fall, reporting 222,400 tons, down 09,000 tons from last week, and also lower than the same period last year
.
It shows that there is little supply pressure in the market, which has some support
for LLDPE.
However, the extent of the rebound remains to be seen
due to the increase in new production capacity.
In terms of operation, it is recommended that investors can reduce their holdings
at high prices.