Polypropylene PP: Spot prices are consolidating in a small range, and the impact of the shutdown of the unit is still at a relatively high level(December 18, 2024)

Domestic petrochemical inventory: The inventory of polyolefins of the two oils is 620,000 tons, down 35,000 tons from yesterday.

PP futures analysis: On December 18, PP2505 opened at 7430, the highest price: 7446, the lowest price: 7411, the position: 458939, the settlement price: 7426, yesterday's settlement: 7455, down: 29, daily trading volume: 258533 lots, deposited funds: 2.383 billion, capital inflow: 141 million.

Mainstream quotes for PP wire drawing:

List of propylene market prices

Analysis of PP domestic spot market: Today, the domestic PP market as a whole showed a small-scale consolidation trend. Market prices in North China and South China increased by 20-50 yuan/ton, and market prices in East China decreased by 20-30 yuan/ton. In terms of price: the mainstream price of domestic polypropylene ranged from 7380 to 7790 yuan/ton. European and American manufacturing data were lower than expected, international oil prices fell slightly, and propylene market prices were stable but weak, and the cost support of the PP market was loosened. Although the PP units of Fujian United and Haitian Petrochemical were restarted today, the impact of the shutdown of the PP units in the field was still at a relatively high level of about 18%, which still had certain positive support for the PP market. In addition, the downstream purchasing enthusiasm was not good, and more rigid purchases continued. The market price fluctuation range was limited, traders were actively shipping, and the trading atmosphere in the field was general.

PP spot trend forecast: In terms of raw materials, the crude oil market's continued concerns about the outlook for global crude oil demand may become the main factor limiting the upward space of oil prices. However, due to the approaching Christmas holiday, there may be a certain boost in crude oil demand in Europe and the United States. We also need to pay attention to the US EIA inventory data to be released tonight. In terms of supply, there are no PP units scheduled for maintenance in the short term, and some PP units that were previously shut down are planned to resume operation in mid-to-late December. The supply of goods in the field may increase, but given that the impact of the current PP unit shutdown is still at a relatively high level, it is expected that it will take some time for the supply pressure to increase. In terms of demand, it is expected that terminal demand may maintain a flat trend. Although new orders in some downstream industries may increase due to the impact of pre-holiday stocking, from the overall demand side, its support for the PP market is still insufficient. Overall, it is expected that the polypropylene market may fluctuate in the short term.

Domestic PP Index: According to Tu Duoduo data, the domestic PP spot index was 7548.33 on December 18, up 8, a range of 0.11%.

Shenhua auction transaction status: Shenhua Coal Chemical's auction volume today was 1,086 tons, down 26.87% from yesterday; the transaction volume was 451 tons, down 48.69% from yesterday; the transaction rate was 41.53%, down 17.66% from yesterday.