The Fast & The Furious – PPI Outpaces CPI Strength YTD; Profit Concerns Far From Hitting The Brakes

Daily Chemical Reaction

The Fast & The Furious – PPI Outpaces CPI Strength YTD; Profit Concerns Far From Hitting The Brakes

Key Points:

• Producer prices have grown more than consumer prices YTD, suggesting end-product price hikes or margin contraction lie ahead of many product chains. We remain concerned sector profit expectations for 2H22 are too high.
• We highlight pertinent energy, chemical, and other corporate updates (e.g., AkzoNobel, Navigator Holdings, LyondellBasell, INEOS, Borealis, & others).
• We discuss relevant ESG items that range from U.S. recycled resin prices outpacing avg. virgin resin values to C-MACC Head of Marketing, Esteban Pizzolo, joining the Carbon Capture Technology Expo in Houston this week.
• We discuss numerous other pertinent chemical sector items in this report.

See PDF below for all charts, tables and diagrams