PP：中期震荡市

Report Industry Investment Rating - Not provided Core Viewpoints - The short - term demand for PP has improved month - on - month, and the cost side has also rebounded significantly recently. The market has stopped falling, stabilized, and rebounded. However, with the resumption of production of maintenance devices and the expansion of new production capacity in the supply side, the supply pressure will further increase. In the long - term, the pressure remains high, although the cost side still has great uncertainties and policies aim at counter - deflation and anti - involution [2] Summary by Relevant Catalogs Fundamental Tracking - PP2601 futures had a closing price of 7021, a daily decline of 0.72%, trading volume of 185,187, and an open interest change of 7338. The 01 - contract basis was - 141 (previous day: - 136), and the 01 - 05 contract spread was - 14 (previous day: - 20). In the spot market, prices in North China were 6870 - 7020 yuan/ton (previous day: 6880 - 7020), in East China were 6880 - 7050 yuan/ton (previous day: 6910 - 7050), and in South China were 6840 - 7080 yuan/ton (previous day: 6870 - 7090) [1] Spot News - The domestic PP market was weakly consolidated, with a decline of 10 - 30 yuan/ton. The continuous decline of PP futures dampened the trading confidence of industry players. Traders were eager to destock and lowered their quotes. Downstream factories were cautious and less willing to buy, suppressing the market [2] Market Condition Analysis - Short - term demand has improved, and the cost side has rebounded. The market has stopped falling and rebounded due to unclear supply - side policy information. However, future supply pressure will increase as maintenance devices resume production and new production capacity expands. The cost side remains uncertain, and long - term pressure is still high [2] Trend Intensity - The trend intensity of PP is 0, indicating a neutral trend [3]