Tag Archives | manias

ACC Aug11.png

US polymer demand slows as consumers cut back

The above chart, from the invaluable American Chemistry Council (ACC) weekly report, highlights the scale of Q1′s inventory build in N American polymer markets (polyethylene, polypropylene, PVC). This build took place as consumers down the value chain rushed to buy forward, as WTI oil prices surged 41% between November – April. Their buying was not […]

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Satchell May11.png

Petchem volumes slide in all 3 major regions

Volume is a key driver for chemical company profits. High volume means operating rates increase, reducing unit costs. Companies also gain more pricing power. But when volume is low, the reverse happens. Thus the above chart from leading analyst Paul Satchell of Collins Stewart is telling an important story. It shows: • Volumes were very […]

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The crude oil mania has its own illusion

The blog spent much of 2007/8 warning of the likely impact of high oil prices on chemical demand. It was then renamed ‘The Crystal Blog’ in November 2008, as the full extent of the problems finally became clear. Today we are back in the danger-zone. The chart above shows annual oil prices since 1970 – […]

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Every mania has its illusion

All the world’s media are now carrying accounts of the ‘liar loans’ and fraud that has accompanied the growth in US mortgage lending in recent years. How did this come about? All manias gain their strength from a widely believed ‘fact’ that turns out to have been an illusion. With subprime mortgage loans, the ‘fact’ […]

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