Chemicals: Weekly Chains Update

Research evidence excerpt

Chemicals: Weekly Chains Update

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June 8, 2026 02:22 AM GMT

Morgan Stanley & Co. LLCMChemicals | North America Vincent Andrews

Equity Analyst

Weekly Chains Update Vincent.Andrews@morganstanley.comTurner W Hinrichs +1 212 761-3293

Research Associate

Turner.Hinrichs@morganstanley.com +1 212 761-1269

Steven K Haynes, CFA

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North America Polyethylene (PE) market update: contract prices settled flat in

May, as expected. Commentary indicates that May saw a moderation of domestic

demand relative to April and that exports were below expectations. Spot domestic Chemicals

North America

prices were -2cpp to flat week-over-week (FOB Houston, railcar), and spot export Industry View In-Line

prices were -1cpp to -1cpp week-over-week (FCA Houston, railcar). Reports indicate

increased activity this past week, which may be related to seasonal stocking given

the pending hurricane season. Reports also reiterated earlier notes that buyers have

been delaying purchases in anticipation of lower prices, and a distributor indicated

some customers plan to defer purchases until August. In export markets, sources

noted weak demand. That said, there were logistical issues reported for cargoes

coming to the Americas from Asia including high freight rates on the back of