C-MACC Sunday Recap
Infrastructure, Hygiene and Housing – A Strong Case for PVC
- This week we focus on things that are working rather that things that are not, and while we see a lot of short-term positioning in many product areas that are foggy in terms of the next turn, PVC looks far less cloudy.
- Gov’t stimulus varies country by country and region by region, but all the actions taken and proposals to date have some infrastructure element to them; some more “green/climate friendly” than others but infrastructure, nonetheless.
- Separately, housing markets are strong in many countries, including the US, and while this may be more temporary and driven by what will be a finite migration from cities to the suburbs, it could last a while – housing strength is good for PVC.
- By contrast we see less fundamental strength in polyethylene over the medium term – and expect the near-term strength to dissipate. Polypropylene has the combined problem of demand headwinds and too much new capacity
This week we discussed 25 Chemical and related products and 49 Companies
See PDF below for all charts