The price continued to soar LLDPE main contract to reduce its position to the upside

In terms of news: Dushanzi Petrochemical PE old full-density 1-line device stopped on July 15, the old full-density 2-line device stopped on June 26, and I heard that the small ethylene device needs to drive around No.
20; Production dynamics of Maoming Petrochemical PE plant: 110,000 tons/year 1# high pressure stopped on September 4, and it is expected to stop for half a month; 250,000 tons/year 2# high pressure production 2520D; 220,000 tons/year full-density unit produces PE-LM2720A; 350,000 tons/year high-density unit production 5502LW
.
Ningxia Baofeng's 300,000 tons/year polyethylene plant produced 8008, and Baofeng Phase II PE plant was successfully
commissioned.

Spot market: The domestic polyethylene market continues to rise
.
In terms of petrochemicals, the opening price of the main regional sales companies continued to increase by 100-200 yuan / ton, and the cost support was
strong.
In terms of the market, affected by the reduction of the load of PE devices by some Saudi manufacturers, the market price of imported polyethylene has risen widely, and domestic resources have also increased to varying degrees.

As of the noon close, most of the North China market was 100-200 yuan / ton; East China market rose 100-300 yuan / ton; The South China market rose 250-350 yuan / ton
.

Warehouse receipt inventory: exchange warehouse receipts reported 4054 lots, -237 lots; It is in the all-time high zone
.
Main position: The top 20 long positions in the main contract are 233567 lots, +17149 lots, short positions are 240736 lots, +4500 lots, net positions are -7169 lots, and the net margin is reduced
.

Summary: Recently, Saudi Arabia's two important oil fields have been attacked, which is expected to affect global crude oil supply in the short term, and the National Day holiday is approaching, and downstream companies also have certain stock demand, resulting in an improvement in the spot market
.
Port inventories declined, down 79,700 tons year-on-year, and PE inventories of two barrels of oil continued to decrease significantly, and the decline was relatively large, reaching 10.
98%.

The display destocking speed is
acceptable.
Although downstream demand is expected to improve, there are signs of tightening environmental protection before the holiday, and some places even have measures to stop production and work, which is expected to inhibit the enthusiasm
of downstream enterprises to prepare materials to a certain extent.
And the petrochemical and other equipment for later maintenance has been started up one after another, which has also increased the supply
of the market to a certain extent.
Therefore, it is expected that there is still room for upside in the short term, but the momentum for a sharp upward trend in medium-term prices is still lacking.

Operationally, the short-term increase has been large, and it is not recommended to continue to chase higher
.