According to the monitoring of the commodity market analysis system of Shengyi Society, the magnesium ingot market in Shaanxi Province has slightly increased this week (7.19-7.26), with an average market price of 18000 yuan/ton at the end of the week and 17966 yuan/ton at the beginning of the week, an increase of 0.19%.

This week’s market analysis

The magnesium ingot market saw a slight increase at the bottom of the fourth week of this month. At the beginning of this week, the magnesium ingot market continued its weak operation from last week, with transactions mainly focused on essential needs, and sentiment was low due to the traditional off-season. Except for a few magnesium factories undergoing maintenance, most manufacturers are still producing normally, with accumulated inventory increasing and magnesium prices remaining at a low level. Over the weekend, the manufacturer’s quotation remained firm with a slight increase.

Supply and demand side

At the beginning of the week, the downstream of the magnesium ingot market maintained a wait-and-see attitude, with limited transactions and a stalemate between supply and demand. Mid week observation requires accumulation and release, and procurement has increased.

In terms of raw materials

At the beginning of the week, the price of 75 silicon iron remained unchanged compared to last week. Maintain weak operation. The price difference is not significant. The export market is sluggish. Mid week silicon iron futures rebounded and stopped falling, while shipping costs have fallen slightly. Forming support for magnesium prices.

The price of orchid charcoal in Fugu area remains stable, and currently the orchid charcoal market is in a stable period with relatively low prices. The manufacturer has not made any adjustments to the quotation. Maintain low production and actively ship.

Future forecast

The magnesium ingot market has slightly rebounded this week, with no new growth points on the demand side. Coupled with the traditional off-season, the performance has been sluggish. It is expected that the short-term magnesium price will continue to operate steadily with a weak trend.

According to the monitoring of the commodity market analysis system of Shengyi Society, the price of activated carbon was 12133 yuan/ton at the beginning of this week, and the price of activated carbon was 12066/ton over the weekend, a decrease of 0.55% in price.

Domestic activated carbon manufacturers’ quotations have remained stable this week, with some manufacturers’ quotations falling. The market is dominated by inquiries, and transactions have fallen short of expectations. The ex factory price of activated carbon for coconut shell water purification in East China is between 9500-12500 yuan/ton, and industry insiders are mainly observing and focusing on market transactions.

Coconut shell charcoal has a certain amount of sales in applications such as gold extraction, water purification, and filter cartridges, especially for gold charcoal, which receives a lot of inquiries from the African market; Fruit shell charcoal can be shipped smoothly from low to medium index sources. There is a recent rebound trend in imported carbide materials, and the industry should pay more attention to it.

Prediction: The transaction volume in the activated carbon market is weak, and it is expected that the price of activated carbon will mainly fluctuate in the short term.

The acrylic acid market has been rising recently. According to the Commodity Market Analysis System of Shengyi Society, as of July 24th, the average price of acrylic acid in East China was 6700.00 yuan/ton, an increase of 1.71% compared to last Thursday (July 18th).

Cost aspect:

According to the Commodity Market Analysis System of Shengyi Society, on July 23rd, the reference price of propylene was 7138.25, an increase of 0.07% compared to July 1st (7133.25). In the recent stage, the price of raw material propylene has been running narrowly and weakly, and the cost has been supported by the acrylic acid market, resulting in a decrease in low-priced acrylic acid sources.

Supply and demand side:

In recent stages, some equipment maintenance has been carried out, and the supply side has provided some support for the market. The mentality of the industry is still good, and manufacturers are firm in their offers. Downstream buyers are more cautious about purchasing high priced raw materials, mainly following up on demand and in moderation. The focus of negotiations in the acrylic acid market has shifted upwards.

Market forecast:

An acrylic acid analyst from Shengyi Society believes that the acrylic acid market has been operating steadily with recent cost and supply support. In the short term, cost support may still exist, and there is relatively no significant positive support for terminal demand. Downstream rigid demand orders are the main focus. It is expected that the acrylic acid market will remain strong and wait and see in the short term, and more attention should be paid to market news guidance.

According to the data from the Commodity Market Analysis System of Shengyi Society, after mid July, terminal demand fell and the hydrogen peroxide market experienced a significant decline. On July 19th, the average market price of hydrogen peroxide was 956 yuan/ton, and on July 23rd, the average market price of hydrogen peroxide was 923 yuan/ton, a decrease of 3.49% in price.

Low terminal demand and weak decline in hydrogen peroxide market

Since mid July, the market for terminal paper industry has been average, and manufacturers’ purchases of hydrogen peroxide have declined. The hydrogen peroxide market has been weak and oscillating downward, with an overall quotation of 830-960 yuan/ton. Among them, the average market price of hydrogen peroxide in Shandong region is about 950 yuan/ton, a decrease of 30 yuan/ton, the average market price of hydrogen peroxide in Hebei region is 830 yuan/ton, a decrease of 100 yuan/ton, and the average market price of hydrogen peroxide in Anhui region is about 960 yuan/ton, with stable prices.

Business Society Chemical Analysts believe that by the end of July, there will be little change in the demand for hydrogen peroxide terminals, and the hydrogen peroxide market will continue to decline in the future.

According to the Commodity Market Analysis System of Shengyi Society, the domestic PTA price has shown a fluctuating downward trend since July. As of July 22, the average spot market price in East China was 5901 yuan/ton, a decrease of 2.26% from the beginning of the month.

Recently, there have been many restarts of PTA facilities, leading to increased expectations of loose supply. The operating rate of domestic industries has risen to over 84%.

In terms of inventory, as of July 19th, the total social inventory of PTA was 2.26 million tons, an increase of 40000 tons compared to the previous period, but it is still in a historically low position compared to the same period, and there is currently no pressure to accumulate inventory. The No. 3 typhoon of this year, “Gemei”, was generated in the ocean east of the Philippines at 2:00 p.m. on the 20th. It is expected to gradually approach the eastern sea surface of Taiwan, China on the 24th, and will have a significant impact on the eastern region of China and the coastal sea surface on the 25th and 26th. Typhoon weather may lead to shortages in ports and mainstream downstream factories, causing temporary tension in the spot market or driving up prices.

From a cost perspective, negative factors in the crude oil market resonate with price declines, weakening the cost support for PTA. In addition, with the implementation of production reduction plans by some downstream polyester factories, market concerns about PTA demand continue to ferment. The terminal textile market is experiencing a deep off-season, with a shortage of orders and significant inventory pressure. Although the atmosphere of order inquiries has slightly increased during the autumn and winter seasons, the progress of order placement is slow, and the willingness to stock up is weak, resulting in the weaving industry operating at around 65%.

Business analysts believe that in the short term, attention still needs to be paid to the restart of PTA plants, the implementation of downstream polyester production cuts, and the impact of typhoon weather.