1、 Price trend

According to the business club’s big list data, pure benzene rose for two weeks. On October 18, the listed price of pure benzene was 3180-3400 yuan / ton (average price was 3360 yuan / ton); this Sunday (October 25), the listed price of pure benzene was 3580-3700 yuan / ton (average price was 3625 yuan / ton), which was 165 yuan / ton or 7.89% higher than last week.

2、 Analysis and comment

Driven by the rise of styrene, pure benzene continued to rise this week. At present, the price of pure benzene fluctuated significantly with the price of styrene. Sinopec raised the listing price of pure benzene three times this week to 3600 yuan / ton, with strong bottom support. Port inventory decreased slightly, but remained at a high level, limiting the price rise of pure benzene.

On the external side, on Friday (October 23), South Korea imported $442.67 per ton of pure benzene, an increase of 23.17 US dollars / ton, or 5.52%, compared with October 16; and that of East China was 449.5 US dollars / ton, an increase of 21 US dollars / ton, or 4.9%.

In terms of crude oil, the impact of public health events in Europe and the United States intensified, but the consultation on the US economic stimulus package failed to reach an agreement, the demand for crude oil was weak, and worries were intensified, and the oil price was under pressure. Compared with October 16, Brent fell $0.415/barrel, or 1.1%, while WTI fell $1.27/barrel, or 3.09%. Compared with December 31, 2019, Brent decreased by 38.24%, and WTI decreased by 34.42%.

Downstream: good push styrene continued to rise, two weeks up more than 23%. At present, pure benzene fluctuates with styrene price. On October 25, the price of styrene in Shandong was 6733.33 yuan / ton, which was 683.33 yuan / ton higher than last week, or 11.29%.

This week, aniline enterprises are running with high prices. On October 16, the price of aniline in Shandong was 6600-6700 yuan / ton, and that in Nanjing was 6700-6800 yuan / ton

3、 Future forecast

In terms of crude oil, Libya’s crude oil exports increased, and the US economic stimulus plan has not reached an agreement, and other negative factors, the downward pressure on oil prices is greater.

Next week, there is still room for the rise of styrene in the downstream, but for two consecutive weeks, the purchase of high price styrene in the downstream of styrene will be reduced, and the increase of pure benzene may slow down. In addition, although the port inventory of pure benzene has decreased slightly, it is still at a high level. It is expected that the market will turn cautious in the following week. Pay attention to the demand brought by the new downstream devices in the later stage.