Heat Waves – Global Supply Chain Issues Remain Hot & Heavy, Regional Indicators Send Mixed Signals

Daily Chemical Reaction

Heat Waves – Global Supply Chain Issues Remain Hot & Heavy, Regional Indicators Send Mixed Signals

Key Points:

• Global supply chains remain broadly out-of-whack and have favored unusually low base chemical & polymer prices in Asia relative to the US. This report flags several macro data posts deeming an abrupt reversal unlikely.  
• We highlight Westlake, Indorama, Greif, Sasol, Livent, & Ganfeng news, flag multiple price hike efforts, & note global production update items.  
• USGC spot ethylene and benzene prices decline relative to US spot PGP to start the week amid improved availability. Derivative demand broadly strong.  
• We discuss an increased push to broaden climate-friendly initiatives from traditional channels and flag several circular economy initiative updates.
• The Freightos China-to-US freight rate index rises WoW, and the Baltic Exchange Freight Rate Index remains at the high-end of the five-year range.
• We note numerous other pertinent chemical sector items in this report.

See PDF below for all charts, tables and diagrams