Investing.com - BMO Capital Markets reported mixed performance in the chemical sector for the week ending June 5, 2026, with the group falling 1.2% while the broader market gained 0.3%. The firm noted significant variance within the sector, with some names down mid-to-high single digits while the top 10 performers ranged from flat to up mid-single digits.

The week brought disappointing results in May US chemical contract settlements, which came in flat versus expectations for declines. US macroeconomic data showed mixed signals, with the May PMI at 55.1 versus expectations of 55.3, while ISM exceeded forecasts at 54 versus 53.1. The US jobs report showed 172,000 new positions with prior months revised higher, well above the 80,000 expected.

Sherwin-Williams (NYSE: SHW) and Nippon withdrew their attempt to acquire Akzo five days after announcing the rejected bid, sending SHW and Axalta Coating Systems (NYSE: AXTA) solidly higher. Solenis (NYSE: SOLS) presented details on its nuclear segment, with BMO projecting a 14-15% compound annual growth rate in pricing over the next few years. Chemours (NYSE: CE) announced the closure of an Asian emerging markets facility as part of ongoing portfolio streamlining.

US petrochemical prices paused after a multi-month rally, with month-over-month moves flat across polyethylene and polyvinyl chloride prices and polypropylene margins. BMO noted that polyethylene and polypropylene came in slightly under expectations while PVC and caustic soda, up slightly month-over-month, met forecasts. The US polyethylene industry moved its attempted 20 cent per pound price increase to June.

BMO expects prices and margins to begin normalizing from elevated levels absent unexpected geopolitical events or weather disruptions. The firm projects the reset will be gradual, with commodity pricing and profitability remaining structurally higher than pre-conflict levels for several quarters. PPG Industries (NYSE: PPG) is scheduled to hold an aerospace segment presentation in Florida.