The Chemical Reaction
The Asian Persuasion – Asia Ethylene Trends Suggest US Polyethylene (PE) Market Deflation Ahead
- We discuss the relationship between Asia ethylene and US polyethylene values – recent weakness in the former likely foretells weakness in the latter based on history and the increased US exposure to the export market.
- We discuss several corporate news items that hit our screen overnight (e.g. ExxonMobil Chemicals, Koppers, Petronas, Aramco, Shell and SIBUR).
- Other items worth note today include improvement in US PDH margins, notable length in Asia aromatics markets and seemingly weak PE producer conditions in Europe amid stalled demand growth and lower Asia prices.
See PDF below for all charts