SunSirs: Hoarding Goods has not yet Started, China PP is Weak

　　According to the data monitored by SunSirs, the PP market was generally weak in early August, and the spot prices of various brands fell. As of August 10, the mainstream offer price of T30S (wire drawing) from domestic manufacturers and traders was about 8,333.33 yuan / ton, a decrease of 1.77% compared with the average price at the beginning of the month and an increase of 4.60% year-on-year.

　　PP upstream propylene domestic (Shandong) market was under pressure in early August, and the price continued to decline. At present, the cost of propylene dominates the market, and crude oil is bearish in the future. It is expected that the propylene market will maintain a weak downward trend.

　　The price of upstream propylene fell, and the cost side support of PP weakened recently. At the same time, the inventory of domestic drawing PP material increased, and the market supply showed an increasing trend. Demand was weak, downstream factories purchased on demand and maintained production, and PP spot price fell under pressure.

　　In terms of fiber materials, according to the data monitored by the business society, as of August 10, the mainstream offer price of domestic manufacturers and traders Z30S (fiber) was about 8,483.33 yuan / ton, a decrease of 0.39% compared with the average price at the beginning of the month and an increase of 8.53% year-on-year.

　　In terms of melt blown materials, the melt blown PP market increased in the first ten days, and I heard that the spot offer price in the field increased. As of August 10, the average quotation of domestic meltblown material sample enterprises monitored by business society was about 9,566.67 yuan / ton. It is expected that the price of melt blown PP may continue to be strong.

　　SunSirs PP analysts believe that the overall shock of domestic polypropylene market in early August is weak, and the trend of spot price is different. The demand level of downstream enterprises is still not high, and the operation of hoarding goods in advance for the traditional peak season in September has not been heard. The supply of high priced goods in the venue is under pressure, and businesses prefer to sell goods at a profit. The upstream propylene market followed the decline of crude oil, and the cost side support of PP weakened. The market mentality is general, and it is expected that China PP price may continue the weak consolidation pattern in the short term.