Dow Chemical on Thursday pushed its 3 cents/lb increase for all grades of polyethylene from May 1 to June 1, according to a letter to customers obtained by S&P Global Platts.
Dow is the first North American producer to announce the move. There have been growing expectations within the market that the slowdown in domestic buying and inventory build would warrant a decrease for the current month, while other sources have suggested the pressure for a decrease could be stronger in June -- particularly if domestic buying does not pick up.
Platts assessed contract pricing flat Wednesday, based on pricing indications amid expectations for a rollover in monthly contracts.
May domestic contracts were assessed stable week on week Wednesday at 64-65 cents/lb ($1,410-$1,432/mt) delivered rail car basis for blowmolding, 64-65 cents/lb ($1,410-$1,432/mt)for injection grade, and 67-68 cents/lb ($1,477-$1,499/mt) for HMW film.
Domestic LLDPE butene contracts were assessed at 62-63 cents/lb ($1,367-$1,389/mt) for delivered rail cars, steady week on week, and LDPE domestic contracts were assessed at 74-75 cents/lb ($1,565-$1,587/mt) for delivered rail cars, flat week on week.
