Daily Chemical Reaction
Slide – Virgin Plastic Product Availability To Likely Improve Relative To Recycled Resin Into 2023
- We expect virgin plastic production improvements will cause greater availability into 2023, while recycled resin markets could reflect relative tightness in the near term.
- US diesel prices recently reached a record premium relative to US gasoline values, which we view as a Western inflationary concern lacking adequate appreciation.
- We highlight the Navigator Holdings 3Q22 earnings results, which put forth a positive view of US ethylene exports, and we show regional price trends support their view.
- We flag IEA estimates for reduced coal usage as a development for many countries, such as China, to meet emission reduction targets. We also show RNG and CO2 trends.
- US West Coast port traffic reflects downward pressure. We also highlight the USD has weakened and mortgage rates declined WoW, though both remain near YTD highs.
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