Core Viewpoint - OPEC+ production increase is leading to a decline in crude oil prices, which is putting pressure on PX and PTA prices [1] PX Market Summary - OPEC+ production increase is gradually being realized, resulting in lower crude oil prices that exert pressure on PX prices [1] - Despite the pressure, there is an expectation of stable demand due to new production capacity in the PX sector [1] - Current PX profits are high, but the profitability of PTA and downstream polyester has dropped to historical lows, leading to an imbalance in the polyester industry chain [1] - Short-term PX prices are expected to fluctuate with crude oil costs, with limited upward or downward momentum [1] - The forecast for short-term PX prices is a bearish trend, with the 11 contract projected between 6600 - 6800 [1] PTA Market Summary - The decline in crude oil prices due to OPEC+ production increase is also impacting PTA prices [1] - PTA previously maintained inventory levels through operational rates, but this is becoming unsustainable, especially with new installations expected in October [1] - Demand is preparing for winter, leading to increased orders and reduced inventory, suggesting a potential balance in supply and demand for PTA in the short term [1] - However, the market is entering a verification period for demand during the peak season, with unresolved US-China tariff issues causing cautious downstream stocking [1] - Given the extremely low PTA spot profits and neutral inventory levels, there is limited space for profit decline or increase, with short-term prices expected to fluctuate with crude oil costs [1] - The forecast for short-term PTA prices is a bearish trend, with the 01 contract projected between 4500 - 4700 [1]