TPE resin pricing: PE falls in spite of Gustav fears; PP and PS drop as wellTPE resin pricing: PE falls in spite of Gustav fears; PP and PS drop as well

). The market did pause as Hurricane Gustav threatened the heart of the U.S. Gulf petrochemical industry, but TPE reports that even with a number of facilities in Louisiana remaining closed, prices still dropped. The falling prices upstream have essentially disabled producers attempts at increases, nullifying an August $0.08/lb price increase and rendering the $0.05/lb September nomination moot, according to TPE. In the face of lower energy and feedstock prices, processors are seeking lower PE prices in September, with drops as large as $0.07/lb possible. TPE and PetroChem wire report that if PE contract prices fell in September, it would be the first contract decrease of 2008. In the spot market, generic-prime railcars for most commodity grade resins have been made available, with high-density film and injection grades offered in the low $0.80’s/lb, and blowmolding slightly lower. Good offgrade railcars of these material were seen in the higher $0.70’s/lb.