From the disk, because the current demand in the doldrums, plastic spot and futures prices are weak, North China recent spot price has dropped to 10000 yuan / ton, but the price drop but is conducive to traders and downstream enterprises to actively promote material delivery, demand.

Sinopec is expected to gradually digest inventory pressure

During the Spring Festival, the domestic petrochemical enterprises have accumulated inventory, the week of February 3rd to a peak of polyethylene inventory accumulation, petrochemical stocks reached 980 thousand tons, an increase of 67%; port inventories increased 48%; total inventories increased 44.7%. The Spring Festival holiday spot market most closed, suspend the accumulation of a large number of stock circulation cause. At the same time, January polyethylene imports increase, port cargo export difficulties and other factors also lead to a substantial increase in the port inventory, part ofport full phenomenon.

Although the short-term polyethylene stocks sharply accumulation, but not too much pressure.

First, inventory accumulation is mainly affected by the effect of the Spring Festival, the market has long been expected, so the pressure on prices is not too large;

Second, after the first working day of the peak of 980 thousand tons of petrochemical stocks have slowly fall in;

Third, the recent Petrochemical stocks relatively the same period in three years is not high, the same period of 2014 inventory 1 million 150 thousand tons, the same period of 2015 inventory 950 thousand tons, inventory 940 thousand tons over the same period in 2016. Therefore, the short term, high inventory will have a certain pressure on the market, but the overall pressure is not too large. Is expected to accumulate 2 months late during the Spring Festival will gradually digest inventory, the possibility of PE price rebound.

In summary, the fundamentals of plastic quietly began from “no” to “Thailand” change, plastic prices are expected to rebound.