Last week, the Jiangsu Styrene market Deduction, 11900-12000 yuan/ton of the spot cost of transmission has tumbled the industry mentality, the global stock market slump has become the last straw to overwhelm the market. From the external environment, leading to the market collapse of the direct factors, the United States, the three major stock indexes, the collective rise in Friday.
At the beginning of this week, the Shanghai low opened soon after a small turn red. With the periphery warmer, the industry mentality tends to calm.
Starting in Friday, the sense of 11500 yuan/ton of the spot price has basically fallen to psychological expectations, terminal and some merchants began to enter the market. From the fundamental analysis of supply and demand, up to now understand that domestic styrene manufacturers have no inventory pressure, the main downstream manufacturers finished products, raw materials are more low level. Moreover, in the face of the current 11400-11500 yuan/ton of spot prices, styrene manufacturers in East China shipping interest greatly reduced. On the import of cargo, up to now understand that after October 19 to the ship will have an obvious contraction process, the current mainstream reservoir area still maintain a faster delivery speed. On Friday, Shandong area of 11400 yuan/ton of the spot supply, Shandong area user procurement of positive, bulk sourcing was soon completed.
In addition, Secco parking overhaul, the rest of the contract customer raw material gap is still need to pay attention.
To sum up, for the recent market, perhaps there should be a rally, as to the extent and duration of the rebound, still by the industry mentality, actual demand, peripheral markets and many other factors constraints. Styrene: Rebound Market Available | Magnitude and duration need to be cautious