Buying appetite for PP in Mideast worsens amid lack of direction

SINGAPORE (ICIS)--Middle East buyers are purchasing polypropylene (PP) only at minimal quantities due to a lack of direction in the spot market, industry sources said on Wednesday.
 

“There is no direction whatsoever. Who knows what will happen next?” a Dubai-based PP trader said.

PP buying is taking place on a need-to basis as traders in the region expect further price drops.

“Sentiment is so weak now. Buying is hand-to-mouth,” a separate trader in Dubai said.

Downstream demand for PP is also weakening as most convertors are well-stocked ahead of the end-year season.

Suppliers selling into the Middle East do not rule out further corrections should sentiment remains lacklustre.