European polymers rise, Asian and US mixed. WTI and Brent Crude fall

European polymer prices rose over the week to 10th March. There were increases of between 10 and 20 EUR per tonne reported in the prices of LDPE, LLDPE, Polypropylene and PVC. In the UK, prices rose across most grades as the Pound lost value against the Euro.

 

Asian polymers were mixed with reductions of 10 USD per tonne reported in the prices of Polypropylene and PVC. There was an increase of 10 USD per tonne noted in the price of HDPE. In China, the prices of HDPE, LDPE, PET and ABS rose by between 5 and 20 USD per tonne.

 

U.S. polymers were also mixed with reductions of 6 and 7 Cents per pound reported in the prices of LDPE and ABS. There were increases of 1 and 10 Cents per pound noted in the prices of Polystyrene and Polypropylene.

 

West Texas Intermediate and Brent Crude oil fell to $76.63 and $82.64 per barrel respectively, reductions of 4.0% and 3.9%.

 

Global oil prices slipped back after better than forecast U.S. employment figures raised concerns of further interest rate hikes.

 

Federal Reserve chair, Jerome Powell, warned of higher and potentially faster increases, saying the central bank was wrong in initially thinking inflation was “transitory”.

 

Additional pressure came from confirmation that China’s crude oil imports reduced in January and February, despite a lifting of COVID-19 restrictions.

 

On the supply side, major oil producers Saudi Arabia and Iran, both members of OPEC, re-established ties after days of previously undisclosed talks in Beijing.

 

The number of active U.S. oil rigs fell by 2 to 590 this week, their lowest since June.

 

The U.S. Energy Information Administration said in its Short Term Energy Outlook that it still expects U.S. crude production and demand to rise in 2023 as increased Chinese travel drives consumption.

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