Polyethylene price fell first and then rose in January

According to the monitoring of the commodity market analysis system of Business Society, the domestic price of LLDPE (7042) was 8237 yuan/ton on January 1, and the average price on January 30 was 8257 yuan/ton, with a 0.24% increase in quotation during this period.

According to the monitoring of the commodity market analysis system of Shengyishe, the domestic price of LDPE (2426H) was 9082 yuan/ton on January 1st, and the average price on January 30th was 9200 yuan/ton, with a price increase of 1.29% during the period.

According to the monitoring of the commodity market analysis system of Shengyishe, the domestic price of HDPE (5000S) was 8500 yuan/ton on January 1st, and the average price on January 30th was 8437 yuan/ton, with a price drop of 0.74% during the period.

In January, polyethylene generally showed a decline followed by an increase, with LDPE showing a significant increase, while HDPE prices remained stable after mid month. After New Year’s Day, petrochemical enterprises have accumulated inventory, and supply side pressure still exists, suppressing the narrow fluctuation and decline of the polyethylene market. After mid month, the futures market has strengthened, driving a slight increase in polyethylene spot prices. Positive factors include a rebound in crude oil prices, expectations for a domestic interest rate cut, and the approaching Spring Festival with demand for restocking in the market, which has led to a narrow upward trend in the polyethylene market.

After the decline at the beginning of the month, polyethylene futures have shown a strong trend, which is beneficial for the spot market. On January 30th, the opening price of the polyethylene l2405 contract on the Dalian Commodity Exchange was 8314 yuan, and the closing price was 8264 yuan, a decrease of 24 yuan. The highest price was 8330 yuan, and the lowest was 8261 yuan, a decrease of 0.29%.

The pressure on polyethylene supply is still on, and as the Spring Festival approaches, downstream factories are gradually taking holidays, resulting in weaker demand; It is expected that polyethylene will undergo a narrow adjustment in operation before the Spring Festival, with limited upward space.