New Metrics for Financial Analysis of Petrochemical Markets Released by Kevin L. Boyle, Consulting
Summary
The correlation between macroeconomic indicators and financial results for petrochemical producers is difficult to recognize.And while the near term fate of the petrochemical industry has been eulogized many times over the past few months, the reality will likely demonstrate something different.The complete White Paper available with my compliments from www.klbconsltingservices.com fully explains this index and discusses the other two metrics—ethane frac spreads and the Modified Sharpe Ratio and VaR results.The more salient analogy is that producers buy feedstocks, like ethane, and sell derivatives, primarily polyethylene.And while the near term fate of the petrochemical industry has been eulogized many times over the past few months, the reality will likely demonstrate something different.The complete White Paper available with my compliments from www.klbconsltingservices.com fully explains this index and discusses the other two metrics—ethane frac spreads and the Modified Sharpe Ratio and VaR results.###