1. Market Price
2. Market
Review
China’s
PVC powder prices fluctuated downward this week. The weekly average price of
calcium carbide-based PVC powder was RMB 4,924/mt, down RMB 66/mt or 1.32% WoW.
The
main reasons affecting the market trend were as follows: On one hand, the sharp
decline in U.S. stocks increased the probability of China’s stock markets and
commodity futures adjusting in tandem. The U.S. non-farm payroll data for
February came in below market expectations, with further weakness anticipated,
raising concerns that the U.S. economy could fall into recession. On March 10,
U.S. stocks plummeted, and market risk aversion increased. This led to a
weakening atmosphere in domestic stock markets and commodities, with PVC
futures showing a downward trend, followed by a drop in the spot market. On the
other hand, the availability of marketable goods increased, mainly due to the
concentrated cancellation of March PVC warehouse receipts, which led to the
outflow of older stocks and downward pressure from low-priced resources.
3. Market
Forecast
SCI
predicts that China’s PVC powder prices will possibly be range-bound next week,
with the price range of RMB 4,700-5,000/mt. With the
concentrated cancellation of March PVC warehouse receipts, PVC spot resources
may increase, denting fundamentals. There are uncertainties in the macro
market. Attention needs to be paid to changes in the macro market.