Commodity Market Report
Olefins - Propylene Americas Monthly Market Overview August 2019
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Report summary
Propylene prices stabilized in August as both supply and demand separately increased. However, the increases were near equal and thus had little effect on prices. The price outlook appears stable for the next few months as inventories have appeared to find a comfort zone, at least until ethane cracking economics return to favor over the winter. Wood Mackenzie expects inventories to continue to provide a buffer for prices through the end of 2019 before running into difficulty from increased derivative demand without additional propylene production capacity to meet it.
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