Forward Ethylene Markets

This report is a comprehensive guide for anyone looking to understand the intricacies of the ethylene and PVC markets, offering both historical context and actionable insights for risk management.

Here's what to expect:

• Introduction to Ethylene Market Risks: Understand the unique price exposure risks associated with producing or consuming commodities made from ethylene.

• Historical Pricing Trends: Learn how ethylene and propylene pricing mechanisms have evolved over the years, from quarterly to monthly settlements.

• Modern Market Dynamics: Gain insights into the complexities of the modern ethylene market, including spot trades, forward trades, and daily price references.

• Ethylene Futures as a Risk Management Tool: Discover how futures markets can be used to hedge against ethylene price volatility.

• PVC Market Overview: Dive into a case study on the PVC market, which is heavily reliant on ethylene. Understand its production, key players, and pricing mechanisms.

• Pricing Mechanisms in PVC: Understand how PVC prices are negotiated and settled, and how they are influenced by ethylene prices.

• Market Anomalies and Buyer Sentiments: Explore specific instances where ethylene and PVC prices did not move in tandem and how it affected the market sentiment.

• Future of Pricing: Discuss the dissatisfaction among PVC buyers regarding the current pricing mechanism and the potential for change.