Crude oil, styrene and PS price comparison
| product |
June 1st |
June 16th |
The ups and downs |
Company |
| Wti/ Brent |
49.01/49.72 |
49.21/47.19 |
-2.8/-2.53 |
USD / barrel |
| styrene |
7750 |
7730 |
-20 |
Yuan / ton |
| GPPS |
8450-8600 |
8550-8750 |
100/150 |
Yuan / ton |
| HIPS |
9000-9100 |
9200 |
200/100 |
Yuan / ton |
From the table, since June, crude oil, styrene turned green, but the PS market rose slightly, the performance was significantly better than crude oil, styrene. Then in the upper reaches of overall downturn, what are the reasons to support the PS market contrarian rose?
The main reason for small series analysis is the factory price and supply support. First, the Dragon Boat Festival, Shanghai Secco PS factory will be listing for pricing, resulting in agent this week than last week, higher than 200 yuan / ton, low shipment will greatly reduce the cost of goods; second, East China area like CEPREI dragon PS device in late may accidentally drop negative. Leiden started to maintain a level of about 3 percent, the local supply reduction; South China like Guangzhou Petrochemical PS device June 3, started down to 5, starlight and in 5, lose a through benzene line, supply is also tightening. In addition, the recent market for the G2O summit parking problem is also a slight speculation, the market mentality may be too much.
But for the downstream demand, the market believes that this year's slight season in advance, and the actual demand is less than the same period last year. At present, the production of large household electrical appliance enterprises in the level of 4-7 in the production of small and medium products factory operating rate of 2-4. This week the downstream plant comprehensive operating rate of 47%, down 1 percentage points from last week. For example, central China, a home appliance products production enterprises in June refrigerator operating rate in 3-4% of the level, compared with the same period last year, a decrease of 1-2%, for the procurement of raw materials nor will of the reserves, according to the basic order product purchase plan.
We expect that in June the PS market supply may still tight, and to the higher cost of goods, late PS market still has some support to follow. But the Dragon PS device CEPREI recovered to normal in June 12th, local tensions will ease slightly. Also concerned about the news of the G20 summit and other news of the hype. |
