Domestic PE Market: Short-term Weak Stability
Domestic petrochemical inventory: The inventory of polyolefins of the two oils is 890,000 tons, an increase of 160,000 tons from before the holiday.
Analysis of the PE spot market: Today, the overall domestic PE market price shows a trend of rising and falling. Among them, the high-pressure price in North China and the low-end price of high-pressure and low-pressure membrane materials in South China have risen, with an increase of 20-50 yuan/ton. The market prices in other regions are stable but weak, with a decline of 10-120 yuan/ton.
The intensification of the conflict between Russia and Ukraine has increased the potential supply risk in the crude oil market. In addition, the traditional peak season in the United States has released positive news, and the international oil price has risen, which has given some support to the PE market.
However, the maintenance and restart of the on-site equipment coexist, involving the shutdown and maintenance of the PE equipment of CNOOC Shell and Zhejiang Petrochemical, as well as the resumption of the PE equipment of Ningxia Baofeng and Maoming Petrochemical.
There is no obvious positive news on the supply side. In addition, the downstream factories returning after the holiday are mainly digesting inventory, and the market trading atmosphere is cautious.
PE spot trend forecast: In terms of raw materials, the crude oil market may be affected by favorable factors such as the weakening of US tariff policy pressure, the instability of the geopolitical situation, the US summer travel peak season, and the negative factors such as OPEC+ maintaining its position of increasing production and weak global crude oil demand.
It is also necessary to pay attention to the impact of related changes on international oil prices. In terms of supply, in the short term, only the PE units of Shanghai Petrochemical and Qilu Petrochemical with a production capacity of about 190,000 tons are planned to be shut down.
In addition, the PE units of Tianjin Petrochemical and Sinopec with a production capacity of about 700,000 tons are planned to be restarted, and the supply of goods in the field may gradually increase. In terms of demand, downstream demand may continue to maintain a tepid rhythm of rigid demand procurement.
The amount of terminal demand orders may decrease during the off-season, and it is difficult for on-demand procurement to give a greater boost to the market. Overall, the polyethylene market is expected to consolidate in a weak position in the short term.
PE futures analysis: June 3, L2509 opening price: 7000, highest price: 7010, lowest price: 6944, position: 565965, settlement price: 6973, yesterday's settlement: 6974, down: 1, daily trading volume: 250761 lots, deposited funds: 2.759 billion, capital inflow: 85.77 million.
Domestic PE index: According to Tuduoduo data, the domestic HDPE spot index on June 3 was 7664, down 8; the LDPE film spot index was 9132, up 4; the LLDPE spot index was 7185, down 45.
Shenhua auction statistics: Linear auction volume today is 400 tons, and today's trading volume is 100 tons. High pressure today's auction volume is 0 tons, and today's trading volume is 0 tons. Low pressure today's auction volume is 0 tons, and today's trading volume is 0 tons.
Our platform connects hundreds of verified Chinese chemical suppliers with buyers worldwide, promoting transparent transactions, better business opportunities, and high-value partnerships. Whether you are looking for bulk commodities, specialty chemicals, or customized procurement services, TDD-Global is trustworthy to be your fist choice.
