HK Stock Market Move | DEEP SOURCE (00990) rose more than 6% as Dow Chemical has raised North American polyethylene prices for two consecutive months, benefiting indirectly from the booming commodity trade atmosphere.

DEEP SOURCE (00990) rose more than 6%, up 6.33% at the time of publication, to HK$0.84, with a turnover of HK$196.848 million. On the news front, according to market media reports, recently, affected by the tightening of the supply chain and rising costs due to the Middle East conflict, Dow Chemicals has notified North American customers that it will raise the price of polyethylene resin for two consecutive months. In April, the price will be increased by 30 cents per pound, and an additional 20 cents per pound is planned for May. A seller stated that the latest price increase means that the price of polyethylene has more than doubled since the outbreak of the Iran war. Polyethylene is a common plastic used for packaging, films, and containers. The sharp rise in prices means that the transportation disruptions in the Strait of Hormuz will eventually be passed on to global consumers. Public data shows that 97.8% of DEEP SOURCE's total revenue comes from chemical trade, with polyethylene as its core product. Its Singapore subsidiary specializes in international chemical distribution. DEEP SOURCE also operates in iron ore, coal, non-ferrous metals, etc. The rise in chemical prices is driving overall bulk trading sentiment, enhancing market expectations for the company's profit recovery.