News summary

Domestic polypropylene prices fluctuated at high levels, and wire drawing transactions in East China were blocked. Overhaul of old and new production capacity has been delayed, and upstream prices have been increased. Traders are supported by costs and have limited profits. Downstream demand is expected to weaken, procurement is not active, and the market has obvious counterattack. Short-term PP is expected to fluctuate.

Newsletter text

[The polypropylene market fluctuates frequently, and traders face dual pressures of cost and demand]

On May 22, China's polypropylene (PP) market experienced high-frequency shocks, and the price range of wire drawing materials in East China ranged from 7680 to 7800 yuan/ton. Due to recent equipment overhauls and new production capacitysimpsonsarcadecabinetDue to the delay, prices in the upstream market remain tough. Driven by cost support and limited spot supply, traders have compressed their space and limited profit margins.

On the demand side, due to seasonal factors, the polypropylene downstream market has shown a weakening trend, buyers 'activity has decreased, and resistance to high prices is obvious, which makes the market face certain resistance to rising. Despite this, the fundamentals of polypropylene appear weak and spot transactions are weak, but market sentiment is still volatile, with long and short news intertwined. PP prices are expected to remain volatile in the short term.