Shanghai Mid-term: Ethylene Glycol Short-term rebound trend or will continue

Ethylene glycol main futures contracts operate weakly overnight, with good trading and slightly reduced positions. In the spot market, the spot quotations in Zhangjiagang and Ningbo are 4470 CNY/ton and 4460 CNY/ton respectively, up 70 CNY/ton from the previous period, and the traders are relatively positive.

In terms of inventory, it is reported that the total inventory of mainstream ports in East China has dropped by 0.9 million tons, totalling 10.72 million tons, or 0.83%, compared with the previous period, and the total inventory has fallen somewhat.

On the demand side, the polyester filament market rose slightly today, the raw material PTA (5116, 4.00, 0.08%) declined weakly, some polyester factory quotations increased, some were temporarily on the sidelines, and the trading atmosphere was light. Yesterday, polyester production and sales volume, the overall market in the future was overdrawn, the market mentality is cautious. It is expected that the polyester market will continue to grow weakly in the short term. In addition, polyester chips, bottles and staple fibers are also dominated by weak shocks, but the overall start-up situation is stable.

Overall,in the early stage of recovery, the market is on the strong side in the short term or continuation due to the excessive price decline caused by the international situation, but with the rebound of the total inventory, the fundamental pressure will still exist. It is suggested that short-term light warehouse tests should be carried out more and TA-MEG spreads should be paid more attention to.