Price trend:

According to the bulk list data of business society, the domestic ABS market was stable in the previous week, and the spot prices of various brands were adjusted in a narrow range. As of July 11, the average price of general-purpose ABS mainstream offer was about 12800 yuan / ton, up or down -2.66% compared with the price level at the beginning of the month.

Factor analysis:

Industrial chain: in terms of raw material styrene, the market price of styrene fluctuated and consolidated last week. Affected by the rise and fall of crude oil prices, the cost was the dominant force. The market price of pure benzene in China fell to 9235 yuan / ton, which was difficult to support the styrene market. The arrival of styrene in Hong Kong and the inventory of enterprises were low, which restrained the decline of styrene. The transaction in the styrene market was general, and the spot price fluctuated slightly.

The price of acrylonitrile was mainly deadlocked last week. Under the premise of supporting the bottom of the cost, the market supply is loose, the downstream rigid demand is dominated, and the price focus of propylene is still on the downward trend in the atmosphere of buying up but not buying down. The market is in a stalemate due to the long short game. Propylene market is expected to run at a low level in the near future.

Last week, the domestic butadiene market was adjusted at a low level. Due to the early increase in export sales of northeast sources and the restart of devices in Shandong, the market expectation was short, and the poor transaction dragged the supplier’s price downward. Then, under the centralized influence of some supply side news, the mentality of merchants slightly strengthened, while the high cost of goods in East China affected the strong offer intention, but the downstream rigid demand boost was limited, and some high price transactions were deadlocked.

Last week, the upstream three materials of ABS cost side showed a general trend. Previously, the price fluctuation of international crude oil was intensified due to the interest rate hike of the Federal Reserve, which was bad for the oil and chemical industry chain, and the cost support of ABS was poor. In terms of industry load, the current operating rate of ABS enterprises has limited changes, which is generally at a high level and has limited support for the supply side. The current season is in the off-season of the industry, and the pattern of weak market demand is gradually unfolding. Merchants cut prices and took orders, stimulating some trading after giving up profits, and the ABS spot price stabilized.

Future forecast:

Business analysts believe that the spot market of ABS fell narrowly last week, and the overall trend of the three upstream materials was poor, weakening the cost side support of ABS. The domestic spot supply is abundant, and the demand follow-up is poor. Recently, the spot price on the floor has fallen to the equilibrium point, and the current market is sideways. It is expected that the ABS spot market will continue to stabilize in the short term.