Petrochemical Product Prices Likely to be High in Asia

摘要

Prices of petrochemical products in Asia may start to feel some pressure as China has accelerated its credit tightening measures, as per ICIS. However, a price crash will be averted on estimation that demand will sustain in line with the recovery of the global economy. Based on media reports, Chinese banks have been ordered to stop new lending for the rest of January, as their loan portfolio ballooned in the first few weeks of 2010. This followed a series of interest rate hikes on the three- and one-year bills of the People's Bank of China (PoBC), as well as an increase in the share of deposits that banks must place with the central bank.