HOUSTON (ICIS)--Prices for commodity chemicals should continue rising in January because of high oil prices, cold weather in the US and tight supplies.
For ethylene, prices should remain steady and margins should fall.
Vertical highlighted several trends that were affecting individual products.
For caustic soda, chlor-alkali producers throughout the state of Louisiana faced logistical challenges shipping the material because of freezing temperatures.
For PE, several trends could help stabilise prices, Vertical said.
Downstream inventories are relatively low. Rising oil prices could encourage companies to buy resin now instead of later. Recent plant outages could also put pressure on prices. Demand remains strong, and the ban on recycled plastic from China could create another opportunity for US exporters, Vertical said.