According to the monitoring of the business club, LLDPE, LDPE and HDPE in East China showed an upward trend this week, and the overall transaction atmosphere of the market was good. On May 22, the average ex factory price of LLDPE 7042 in East China was 6583.33 yuan / ton, 1.54% higher than that at the beginning of the week (18th); the average ex factory price of LDPE 2426h was about 7525.00 yuan / ton, 1.35% higher than that at the beginning of the week; the average ex factory price of HDPE 5000S was 7066.67 yuan / ton, 0.71% higher than that at the beginning of the week. The increase is mostly about 50-300 yuan / ton.

On May 24, the LLDPE commodity index was 63.05, unchanged from yesterday, down 46.37% from 117.56 (2013-12-11), the highest point in the cycle, and up 9.73% from 57.46, the lowest point on April 6, 2020. (Note: cycle refers to 2011-09-01 to now)

The LDPE commodity index on May 24 was 58.56, unchanged from yesterday, 48.33% lower than 113.33 (2013-12-08), the highest point in the cycle, and 7.89% higher than 54.28, the lowest point on April 6, 2020. (Note: cycle refers to 2011-09-01 to now)

On May 24, the HDPE commodity index was 57.28, unchanged from yesterday, down 44.02% from 102.33 (2014-07-24), the highest point in the cycle, and up 5.22% from 54.44, the lowest point on April 6, 2020. (Note: cycle refers to 2011-09-01 to now)

This week, the market price of polyethylene took the lead, with an increase of about 50-300 yuan / ton. There are many positive factors this week: first, the rise of international crude oil and ethylene, driven by the rise of raw materials, the petrochemical industry raised the factory price, with a good attitude of the industry and a rising price of the merchants; second, the linear futures were active in the week, with a sharp rise on Wednesday and Thursday, boosting the mentality of the spot market; third, in terms of supply, petrochemical equipment maintenance increased this week, Yangzi Petrochemical, Maoming Petrochemical, etc The unit began to be overhauled and the market supply decreased. However, at present, the demand for PE continues to be low, and the overall construction starts vary from 1-30%. With the end of the production of mulch film, the demand for shed film is cold, and most enterprises shut down. The demand for LLDPE and HDPE is weak, the demand for HDPE is fair, and the demand for replenishment is just downstream. Overall, the market performance is still stable.

Raw material ethylene market goes all the way up. In recent years, the global oil supply has decreased, the demand has recovered, and the international crude oil has rebounded sharply, forming a cost support for ethylene. In recent years, the market of ethylene in Europe and the United States is in a rising trend, especially in Europe, where the trading atmosphere of the whole ethylene market is active and the market continues to rise. The industry pays more attention to the supply and demand after the festival. Business data analysts expect the price of ethylene to be mainly upward consolidation next.

Linear futures rose sharply in the week, driving up petrochemical prices and boosting market mentality. On Monday (May 18), the opening price of polyethylene futures l2009 was 6385, the highest price was 6410, the lowest price was 6320, the closing price was 6370, the former settlement price was 6335, the settlement price was 6360, up 35, or 0.55%, the volume was 354804, the position was 373941, and the daily increase was – 14066. On Friday (22), the opening price of polyethylene futures l2009 was 6515, the highest price was 6540, the lowest price was 6390, the closing price was 6415, the former settlement price was 6535, the settlement price was 6455, down 120, down 1.84%, the trading volume was 398959, the position was 376418, and the daily increase of position was – 10269. (quotation unit: yuan / ton)

In the 20th week of 2020 (5.18-5.22), there are 12 commodities in the list of commodity price rise and fall in rubber and plastic plate, including one commodity with a rise of more than 5%, accounting for 5.6% of the monitored commodities in the plate; the top three commodities are pet (5.38%), ABS (3.46%) and PVC (3.34%). There are two kinds of commodities falling on a month on month basis, and one kind of commodities falling by more than 5%, accounting for 5.6% of the number of commodities monitored in this sector; the top two products falling are PP (melt blown) (- 9.30%) and PA66 (- 0.78%). This week’s average was 0.94%.

Aftermarket: at present, it is in the off-season of demand. The demand for plastic film is over. The demand for plastic film is light. The downstream is in conflict with the high price supply. The enthusiasm for entering the market is general. The mentality is more cautious and the wait-and-see is the main thing. Near the end of the month, petrochemical enterprises have the demand for storage arrangement, and it is expected that there will be a large resistance to increase in the short term, or narrow range consolidation.