1、 Price trend
The domestic xylene market rose steadily this week, with an average price of 3630 yuan / ton as of Friday, up 3.3% month on month.
2、 Analysis and comment
Xylene prices rose steadily this week. Port inventory continued to fall, but it was still high. As of the end of this week, East China was about 110000 tons, down about 15000 tons compared with last week, and the pressure to go to the warehouse is still there. Market oversupply, downstream Px, gasoline blending demand improved, isomer xylene demand slightly improved, market transactions improved, overall supply and demand situation tended to be stable. At present, the mainstream price in East China is about 3650 yuan / ton. Worries about the reduction of crude oil demand caused by the new coronavirus epidemic and the impact of geopolitical tightening on economic recovery worries, the future market continued to pay attention to the fluctuation of US dollar index and stock market, the influence of geopolitical situation in the Middle East on crude oil supply, the development progress of new coronavirus vaccine and the continuous spread of overseas epidemic situation, the impact of economic restart recovery on crude oil demand, as well as the situation of global economic recovery and Europe us push The progress of the economic recovery rescue plan.
Upstream, crude oil novel coronavirus pneumonia is facing a severe global epidemic situation, exacerbating the energy demand outlook. In addition, U.S. crude oil inventories rose unexpectedly, traders began to re order oil tankers to store crude oil and diesel oil, Saudi Arabia cut prices sharply, and the situation of global oversupply will continue. As of Friday, spot Brent fell $2.165/barrel to close at $39.045/barrel, down 5.25% from last week. Analysts and traders are short on the outlook for next week’s crude oil, according to fx168′s weekly financial market survey released on Saturday (September 12). Next week will focus on the OPEC + market surveillance group meeting to be held on September 17.
Downstream, in terms of PX market, the listed price of domestic Sinopec’s enterprises was about 4600 yuan / ton this week, and the latest external price was about 528 US dollars / ton FOB Korea and 546 US dollars / ton CFR China. It is expected that the short-term PX market will continue to decline slightly. In terms of PTA market, the market price dropped slightly this week. The domestic PTA spot market price is about 3499 yuan / ton, and the external price is about 444 US dollars / ton CFR China. It is expected that PTA price will continue to decline slightly next week. In terms of ox market, Sinopec’s o-benzene quotation is stable, with the price of 4400 yuan / ton, and the external price of o-benzene is about 530 US dollars / ton FOB Korea and 547 US dollars / ton CFR China. It is expected that the price of o-benzene will fall slightly next week.
3、 Future forecast
Xylene analysts of the chemical branch of the business society think: first, look at the supply cost side, the total number of us oil drilling and EIA, API inventory data, and the implementation of OPEC + production reduction. Second, on the demand side, the impact of the continuous spread of the global second epidemic on the economic restart of crude oil demand, the progress of industrial chain recovery, the geopolitical situation of the Middle East and China and the United States, and the economic and trade situation of Europe and the United States. Third, look at the dollar index and stock market linkage. Next week, we will focus on the fluctuation of US dollar index and stock market, and the impact of Sino US economic and trade situation on the trend of crude oil. Overall, it is expected that xylene prices in the domestic market will adjust next week.