According to the Commodity Analysis System of Shengyi Society, the styrene market has shown a strong upward trend this week. The average price at the beginning of the week was 6964 yuan/ton, and the average price over the weekend was 7116 yuan/ton, with a 2.18% increase during the week.
News: On January 15th, international crude oil futures fell sharply. The settlement price of the March WTI crude oil futures contract in the United States was $59.08 per barrel, a decrease of $2.80 or 4.5%. The settlement price of Brent crude oil futures for March was $63.76 per barrel, a decrease of $2.76 or 4.1%.
Cost wise: The pure benzene market has significantly increased this week. The deterioration of the situation in the Middle East has driven up crude oil prices, coupled with the strong rise of downstream styrene, which has driven the demand for pure benzene and actively boosted the pure benzene market.
Supply and demand side: The resumption of styrene production this week fell short of expectations, and supply side support has strengthened. Recently, due to the increase in maintenance of overseas styrene plants, there has been a real increase in inquiries and actual transactions for China’s styrene exports, which has driven further destocking of port inventories and a significant improvement in the fundamentals of styrene. There is little change in downstream 3S operation, with seasonal fluctuations being the main factor,
Styrene external market: On January 15th, the closing price of styrene in the Asian region fell by $2.5/ton, with closing prices of $890-900/ton FOB Korea and $900-910/ton CFR China.
Market forecast: Recently, the price of styrene will strengthen, and downstream resistance to high priced raw materials will increase. There is a high possibility of weakness in the later stage of raw material pure benzene, and it is expected that the styrene market will consolidate at a high level in the short term.
| http://www.thiourea.net |