Domestic PP: Inventory Drop & Price Decline
Domestic petrochemical inventory: The inventory of polyolefins of the two oils is 780,000 tons, down 30,000 tons from yesterday.
Futures analysis: On June 24, PP2509 opened at 7238, the highest price was 7253, the lowest price was 7056, the position was 448435, the settlement price was 7114, yesterday's settlement was 7237, the decline was 123, the daily trading volume was 567068 lots, the deposited funds were 2.221 billion, and the capital outflow was 263 million.
Market mainstream quotes for wire drawing:
Domestic spot market analysis: Today, the domestic PP market as a whole showed a slight downward trend, and the market prices in various regions fell across the board, ranging from 20 to 80 yuan/ton. In terms of price: the mainstream price of domestic polypropylene ranged from 7060 to 7370 yuan/ton. Affected by the changes in the geopolitical situation, the cost side of international oil prices fell widely, which to a certain extent suppressed the PP market sentiment. Although the Jiutai Group PP unit was temporarily shut down for maintenance, the Zhongjing Petrochemical PP unit was restarted at the same time, and the supply pressure of goods remained unchanged. In addition, the downstream was not willing to accept the goods, and the market trading situation was weak.
Analysis of the domestic futures market: The night market price of the PP2509 contract fluctuated narrowly; after the opening of the morning session, it plunged to the intraday low of 7056, and then fluctuated; the price of the afternoon session was sideways in a small range until the end. As of today's afternoon closing, the PP2509 contract fluctuated in the range of 7056-7253 throughout the day, with a price difference of 197, and the 09 contract reduced its position by 40075 lots, and the current position was 448435 lots.
Market Forecast: In terms of raw materials, in the short term, the crude oil market may be affected by favorable factors such as the traditional peak consumption season in the United States, as well as unfavorable factors such as the geopolitical situation, OPEC+ maintaining its position of increasing production, and the poor global economy. 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, the on-site supply may be affected by the planned shutdown and maintenance of PP units such as Dushanzi Petrochemical and Yanchang Coal, which have a production capacity of about 700,000 tons. As a result, there may be a certain expectation of easing supply pressure, but it is difficult to give a strong boost to the market. In terms of demand, affected by seasonal demand, downstream companies are not very active in purchasing, and the weak performance of the demand side has limited support for the PP market. Overall, it is expected that the polypropylene market may be weak in the short term.
Domestic PP Index: According to Tu Duoduo data, the domestic PP spot index was 7181.00 on June 24, down 50, a range of 0.69%.
Guoneng auction statistics: Guoneng Coal Chemical's auction volume today was 3,557 tons, up 1.86% from yesterday; the transaction volume was 673 tons, down 73.92% from yesterday; the transaction rate was 18.92%, down 54.99% from yesterday.
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.
