PVC supply will gradually increase and futures prices will fall slightly

News: 1.
Among the 30 sample enterprises of Longzhong Information, the production capacity is 15.
01 million tons.

Last week's operating rate declined, and production and maintenance were stopped synchronously with PVC support, which had a limited
impact on the overall supply of the market.
The sample operating rate was 80.
1%, and the operating rate decreased by 5.
49%, and the market showed sufficient
supply.
2.
In July 2020, China's dichloroethane import volume in the month was 78656.
913 tons, the cumulative import volume was 482920.
621 tons, the import amount in the month was 11888164 US dollars, and the average import price in the month was 151.
1394682 US dollars / ton, and the import volume was +35.
37%
month-on-month.

Market quotation: the mainstream price of SG-5 in Changzhou market in East China is 6580 yuan / ton, -50
.
Warehouse receipt inventory: 3422 warehouse receipts, +619
.

Main positions: the top 20 long positions 139350, -4894; short positions 137895, -8897
.
Net idling to net more
.

Summary: The increase in PVC prices in Asia has supported the domestic market
.
In September, many installations still had maintenance plans, and the decline in PVC social inventory slowed down, but it was still lower than the same period last year, indicating that the pressure on PVC supply was not large
.
However, crude oil prices have weakened, and new installations are planned to be put into operation in the middle and late months, and it is expected that the supply will gradually increase
in the later period.
This factor may limit the upside
of PVC.
In terms of operation, it is recommended that investors can set the take profit in their hands and hold
them cautiously.