Price trend

According to the Commodity Market Analysis System of SunSirs, the domestic propylene (Shandong) market experienced a volatile trend this week, with a slight increase. The average price of the Shandong market at the beginning of the week was 6,270 RMB/ton, and the average price over the weekend was 6,310 RMB/ton, with a weekly increase of 0.64% and a year-on-year decrease of 22.1%.

Analysis review

According to the Commodity Market Analysis System of SunSirs, the propylene market in Shandong was fluctuating and rising this week, but the rise was weak. At the beginning of the week, due to the widening price difference between downstream PP and propylene, there was a certain profit margin in the downstream, and procurement was more active. Propylene enterprises took advantage of the trend and drove up. In the second half of the week, due to the impact of low-priced sources from the surrounding areas, coupled with the decline in crude oil prices, the mentality of the industry was dragged down. Propylene prices stopped rising and retreated, while the wait-and-see atmosphere on the market became stronger, suppressing price increases

Recently, almost all upstream and downstream products of propylene had fallen, and the negative impact of upstream cost was significant. Downstream only PP had slightly increased, with the main downstream support being the main driving force for the rise of propylene this week.

Market outlook

Propylene analysts from SunSirs believe that as of June 9, the price of propylene had fallen to a low level, downstream bargained entering the market and upstream inventories were not high. It is expected that propylene will remain low and volatile in the short term.

If you have any questions, please feel free to contact SunSirs with support@SunSirs.com.