PE Market: Price Trends & Forecast
Domestic Petrochemical Inventories: Polyolefin inventories from both oil and gas companies reached 795,000 tons, down 20,000 tons from yesterday.
PE Spot Market Analysis: Domestic PE market prices remained generally strong today. In North China, the highest market price for low-pressure film grades fell by 30 yuan/ton, while the lowest market price for low-pressure wire drawing grades fell by 20 yuan/ton. Prices for linear, high-pressure, and low-pressure film grades all rose to varying degrees.
In East China, prices for linear, high-pressure, low-pressure film, and low-pressure wire drawing grades all showed an upward trend. In South China, prices for linear and low-pressure film grades rose, while prices for high-pressure and low-pressure wire drawing grades remained stable. The current PE market is characterized by differentiated price adjustments and weak supply and demand.
Coupled with the traditional off-season for downstream industries, the overall market pace is slow. Some companies raised their ex-factory prices by 30-500 yuan/ton, while a few saw slight reductions of 20-50 yuan/ton. Others maintained stable prices. Market-wide, both supply and demand appear weak. Despite price adjustments on the supply side, overall supply remains ample. The demand side is more significantly impacted by the off-season in downstream industries.
Operating rates in key application areas, such as agricultural film and packaging, remain low. Companies are primarily focused on restocking, lacking the motivation to proactively increase purchases, making it difficult to unleash large-scale purchasing demand. Trading continues to follow market trends.
Given the current sluggish and stable market, traders are primarily focused on clearing existing inventories, with quotations fluctuating flexibly in line with upstream adjustments. Notably, in some regions, market prices have risen due to localized demand release or short-term supply constraints, leading to a marginal recovery in regional trading sentiment.
PE spot price forecast: In the futures market, the L2509 contract's night trading price showed a narrow range of fluctuations, with a slight upward movement in the morning, a decline in the late morning session, and a fluctuating downward movement in the afternoon session.
Currently, with Fushun Petrochemical's plant scheduled to resume production today, the market is again tentatively pushing prices higher, but downstream capacity is limited, and demand has yet to provide substantial support. With the traditional peak season of "Golden September and Silver October" approaching, the market has a temporary expectation of increased demand, but this has yet to translate into actual trading volume.
Furthermore, the month-end rollover process for the main futures contract has begun, and adjustments in the position structure may lead to increased price volatility, weakening market stability and further exacerbating market uncertainty. Overall, the polyethylene market is expected to experience a period of volatile consolidation in the short term.
Mainstream PE Market Quotes:
PE Futures Analysis: August 13th, L2509 Opening Price: 7320, High: 7338, Low: 7305, Open Interest: 212,562, Settlement Price: 7320, Yesterday's Settlement: 7328, Down 8%, Daily Trading Volume: 160,520 lots, Deposited Funds: 1.088 billion, Outflow: 108 million.
Domestic PE Index: According to Tuduoduo data, on August 13, the domestic HDPE spot index was 7647, up 12 points; the LDPE film spot index was 9634, up 38 points; and the LLDPE spot index was 7379, up 18 points.
Shenhua Auction Statistics: Today's linear auction volume was 550 tons, with 499 tons sold.
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.
