LONDON (ICIS)--Sentiment in the European polyolefins market was higher across the board this month with all indicators moving up from July, analysis of the August ICIS Chemical Market Confidence Index showed on Tuesday.
This rise in confidence, a rebound from July when the index was sharply down in all but one indicator, comes despite a recent decline in European polyethylene (PE) and polypropylene (PP) margins which were eroded by higher naphtha costs.
The positive shift in August was still not enough to push the indices into positive territory – with just future order book volumes registering above the zero line – and all other indicators in the negative.
The newly established ICIS Europe CMCI aggregates sentiment from hundreds of petrochemical market players actively involved in price negotiations across more than 60 different markets.
The Europe CMCI runs from +100, to -100, with zero on each index representing neutral, or uncertain conditions, a negative score indicating bearish expectations and a positive score representing bullish expectations. The indices also gather sentiment on the comparison between the current situation and the situation across the past 12 months to give a complete picture of current market conditions and confidence. The information is gathered in the third week of each month. A full methodology is available on request.
For more details on the overall Europe CMCI data, click here