The Jade Rabbit welcomes the Chinese New Year and the chemical market is performing well

The Jade Rabbit welcomes the Chinese New Year and the chemical market is performing well

Up List.

Butadiene: this cycle, the domestic butadiene market prices continue to rise, Sinopec supply prices for three consecutive increases, up 800 yuan / ton. At the beginning of the week, supported by the high price of the supply, overlaid with the firm price of Asian foreign markets, the business mentality continued to be positive, the offer was firm and upward, with the domestic supply side price increase, the market center of gravity followed the supply price continued to move higher. However, near the Spring Festival holiday, the market trading atmosphere is light, but the supply price high support, the intention of low out not high, but the terminal one after another shutdown holiday, the field inquiry is scarce, the market inquiry quotation price difference is obvious, the overall transaction performance is general. As of January 19, Shandong Luzhong area delivery price in 9000-9100 yuan / ton, East China out of the tank from the price of 8600-8700 yuan / ton or so, the actual single negotiation. The next cycle, after the holidays, some terminals slowly resume work, but the demand for butadiene is still weak, while the recent foreign prices continue to move higher, coupled with the high price of Sinopec supply, there is still bottom support for the market, is expected to maintain the next cycle of butadiene market trend of small finishing market, still need to pay attention to changes in downstream demand and the actual market transactions.

Propylene: This cycle, the domestic propylene market center of gravity rose. At the end of last week, the re-start of the parked propylene plant was delayed and Bohaihua PDH plant maintenance released good support, propylene producers shipped without pressure to push up the offer. This week, polypropylene futures continued to move higher to drive market sentiment, coupled with Xintai PDH plant temporary parking to further support the refinery's willingness to support prices, although the polypropylene spot trading slowed down earnings inversion constraints on propylene demand, but the field supply is tight, other chemical downstream replenishment before the holidays positive, propylene producers low inventory support price confidence, the market trading range continued to move higher.

PTA: this cycle in the (20230113-0119) period, PTA East China spot market broad upward, the market price rose sharply, mainly by the raw material PX market price is high, the cost of strong positive support. As of the settlement to January 19, the cycle of PTA East China market spot average price at 5596 yuan / ton, compared with the previous cycle (20230106-0112) average price rose 261 yuan / ton, or +4.89%. Cost side, this cycle, Europe and the United States crude oil futures narrow adjustment, raw materials PX market trading atmosphere is better, Asian prices continue to move higher, the PTA market support is stronger. From the point of view of PTA own supply and demand, supply slightly tightened, but the downstream demand continues to weaken, the terminal exit from the market, the overall conduction is not good. Overall, the cycle of PTA's own fundamentals are hardly optimistic, while the cost of crude oil slightly adjusted, raw materials PX high continued to rise favorable PTA market upside, the overall processing fee is low, PTA spot prices rose high to 5700 yuan / ton line.

Decline list.

Dichloromethane: This cycle of the domestic dichloromethane market is weak and oscillating, the low-end of the Shandong market prices were 4% lower than last week. Into this week, with the approach of the Chinese New Year, the demand side of the pre-holiday stockpiling is basically over, the market trading atmosphere turned light, but after the significant reduction in corporate offers, Shandong manufacturers shipments slightly improved, part of a small rebound, East China general trading, the market fell after stabilization, South China during the week, the industry basically left the market, the market is light finishing. As of Thursday's close, Shandong region was at RMB 2400-2420/ton, East China region was at RMB 2280-2550/ton, and South China region (bulk water) was at about RMB 2800/ton.

PO: The overall performance of the propylene oxide market during the week was lukewarm. The overall trading atmosphere of the market turned lukewarm due to the Chinese New Year holiday factor, but the supply-side market was more price-optimistic, and the market price was moderately lowered near the end of the week. From the viewpoint of raw materials, the center of gravity of propylene market transaction during the week was stable in the strong operation, and the price of liquid chlorine market was stable in the weak operation, and the support of cost side was slightly improved, but the profit margin of chlor-alcohol method PO enterprises is relatively high; from the viewpoint of supply, individual enterprises in Shandong area reduced negative for a short time last week, and recovered this week, and individual new enterprises in the south put material into trial production during the week, overlapped with the arrival of imported shipments at the port, and the supply side was relatively sufficient. The supply side is relatively sufficient, and the shipments of enterprises gradually turn light during the week, and the inventory pressure also has a small accumulation; downstream demand, affected by the Spring Festival holiday factor, polyether demand support is not strong at this stage, mostly with the original order support, and the market is bearish expectations, just demand for purchase has declined, and with the approach of the Spring Festival holiday, terminal factories have been shut down and withdrawal, market demand performance is weak; comprehensive view, affected by the Spring Festival holiday However, during the Spring Festival holiday, the logistics capacity was poor, and the spot market transaction was weak, so the overall market of propylene oxide during the Spring Festival was mainly stable.

Acetone: The domestic acetone market was weak and stable this week. As of January 19, the mainstream offer of acetone market in East China was at RMB 4,750/ton, down RMB 75/ton from last week. At the beginning of the week, the port inventory fell slightly, but the atmosphere in the field was flat, the attitude of the stockholders was unstable, and the quotations were close to the low end, the intention of the terminal enterprises to replenish goods was not high, and the overall trading atmosphere was not lukewarm. With the Chinese New Year holiday approaching, the market trading atmosphere gradually cooled down, while logistics and transportation reduced, the market offer is relatively firm. Near the end of the week, market participants have entered the holiday mode, trading has come to a standstill, and the atmosphere of negotiation in the field is light.

The view of China: 2023, with the epidemic prevention and control into a new phase, the normal production and life order to restore and accelerate the expansion of offline consumption scene, the consumer market is expected to gradually recover, the repair of domestic demand will support economic growth, in the case of active policy force, China's economic operation is expected to improve rebound.