1、 Price trend
The domestic xylene market price was stable this week, with the average domestic price of 3680 yuan / ton as of Friday, which was flat compared with last week.
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2、 Analysis and comment
The price of isomeric xylene was stable on the whole this week. Affected by the lower profit margin and lower operating rate of downstream PX manufacturers, the demand for isomeric xylene slowed down. Compared with the previous period, the market price was slightly sluggish and the transaction was not active. At present, the mainstream price in East China is about 3670 yuan / ton. Due to the uncertain outlook of crude oil supply and demand, the future market continues to pay attention to the secondary spread of overseas epidemic situation, the impact of global economic recession on crude oil demand, and the meeting news of the OPEC + Joint Ministerial supervision committee, which will meet again on July 15 to discuss a record production reduction agreement. According to the current arrangement, the production reduction agreement will last until the end of July, and then the reduction range will begin to shrink.
Upstream, crude oil, international oil prices fluctuated slightly this week. The International Energy Agency (IEA) raised its demand forecast for 2020, and US energy companies reduced the number of active rigs to a record low for the 10th consecutive week, supporting oil prices. But a record number of new cases in the United States has hit expectations of a rapid recovery in fuel consumption. Long space back and forth saw, overall maintain shock trend. As of early Friday morning, spot Brent was down 1.21%, Brent futures was down 0.77%, WTI futures was down 2.28%, and Dubai futures was up 2.25%.
| EDTA 2Na |
In terms of downstream, PX market, the listed price of domestic Sinopec’s enterprises is about 4800 yuan / ton this week, and the latest external price is about 521 US dollars / ton FOB Korea and 541 US dollars / ton CFR China. It is expected that the PX market will maintain a stable trend in the short term. In terms of PTA market, the domestic PTA spot market price is about 3560 yuan / ton, and the external price is about 450 US dollars / ton CFR China. It is expected that PTA price will continue to decline slightly next week. The price of ortho benzene / FOB in Korea is expected to remain stable at USD 4400 / FOB.
3、 Future forecast
Xylene analysts of the chemical branch of the business society believe: in the short term, OPEC + production reduction, total number of oil drilling in the United States and EIA inventory situation in the supply cost side. In the medium term, on the demand side, the economic and trade situation in Europe and the United States, the impact of the second outbreak in Europe and the United States on the economic restart of crude oil demand, and the recovery progress of the industrial chain. Next week, we will focus on the news of the meeting of the OPEC + Joint Ministerial supervision committee, which will meet again on July 15 to discuss the record production reduction agreement, as well as the trend of international crude oil. On the whole, it is expected that xylene prices in the domestic market will continue to fluctuate slightly next week.
| Melamine |