Dalian Plastics (LLDPE) futures opened higher on the 21st. The main 1109 contract opened at 11,820 yuan / ton, closed at 11,890 yuan / ton, up 170 yuan / ton, with a turnover of 390,200 lots and an open position of 199,116 lots. The US dollar is weak, crude oil has soared, and ethylene has been firm. Petrochemical companies' quotations have stabilized, with some support below the futures price. However, the weak demand and supply growth pattern will not change in a short time, and LLDPE futures may still fall. In the short term, the probability of shocks staying between 11500-12000 is relatively high.

 

The New York Mercantile Exchange (NYMEX) May crude oil contract settled at $ 111.45 on the 20th, an increase of $ 3.17 or 2.93%. The US dollar fell sharply against other major currencies and emerging market currencies, as the prospect that US interest rates may remain at a record low encouraged investors to seek higher returns. The US stock market closed higher, the performance of large companies was better than expected, and investor sentiment turned positive, encouraging crude oil prices to rise. The rise in crude oil will increase the cost of chemicals, which will benefit futures prices.

 

In terms of inventory, the U.S. Energy Information Administration (EIA) said in its weekly oil report today that due to reduced oil imports and increased refinery operating rates, U.S. crude oil and petroleum product inventories declined last week, while gasoline inventories continued The 9th drop. The report said that domestic crude oil inventories unexpectedly decreased by 2.32 million barrels to 35697 million barrels during the week ending April 15. Last week, U.S. gasoline inventories fell for the ninth consecutive week, decreasing by 1.58 million barrels to 208.1 million barrels.

 

Asian ethylene market, prices remained stable on the 20th, CFR Northeast Asia / Southeast Asia closed at 1380.5-1382.5 US dollars / ton and 1400.5-1402.5 US dollars / ton. Northeast Asia spot negotiations were light, and most downstream users waited to digest stocks. Spot supply is slightly looser than the previous period. South Korea ’s LG ’s annual production of 780,000 tons of steam cracker restart plan was postponed until this weekend. The Southeast Asian market is waiting for news of when Shell's 800,000-ton cracker will start operating in Singapore. Relevant sources say that it will also be available after mid-May.

 

Today the LLDPE market price is basically stable. Crude oil skyrocketing and futures opened up to support the confidence of the industry, the supply is basically normal everywhere, some businesses in North China and South China are bullish, trying to raise the quotation, but the downstream inquiry, and limited transactions. The LLDPE market in the Central Plains is generally well-stocked, with crude oil skyrocketing and futures opening higher in the morning. Major merchants have reported high prices. The 7050 tax-included report is 11,100 yuan / ton with few transactions. .