[POM Daily Review] Low Manufacturer Inventory Supports Market, Transactions Mainly Driven by Rigid Demand

Today's Summary

2. Spot Overview

Based on the Yuyao area, today the price of Yun Tianhua M90 is reported at 11,100 yuan/ton, remaining stable compared to the previous period. The domestic POM market is maintaining a stable and weak trend, with the fundamentals still providing support, and petrochemical companies continuing to express a price support intention. However, the operating load of end-user factories is at a low level, and demand orders are weak. Some traders have relatively flexible negotiation space, leading to a sluggish market for purchases and sales. As of the close, the domestic POM tax-inclusive price range in the Yuyao area is 8,800-11,300 yuan/ton, while the cash transaction price range in the Dongguan area is 7,800-10,400 yuan/ton.

3. Price Forecasting

The current fundamental guidance information is limited, and market inquiries in various regions have weakened, with a heavier wait-and-see sentiment. In the short term, the market is inclined to maintain prices, and the supply side is relatively stable. Although the inventories of petrochemical companies are low, some traders face inventory backlog situations, and downstream users have limited purchasing capacity. Merchants may appropriately expand the space for concessions to promote transactions. Longzhong Information predicts that the short-term POM market will show a fluctuating consolidation trend.