According to the Commodity Market Analysis System of Business Society, the auction price of crude benzene continued to rise from September 8th to September 15th, 2023, with 7388.75 yuan/ton last weekend and 7706.25 yuan/ton this weekend, a weekly increase of 4.3%.

In terms of crude oil, international crude oil futures rose significantly on September 14th. The settlement price of the main contract for US WTI crude oil futures was $90.16 per barrel, up $1.64 or 1.9%. This year, WTI reached the $90 level for the first time, reaching a new high since November 2022. The settlement price of the main contract for Brent crude oil futures was $93.70 per barrel, an increase of $1.82 or 2.0%. The main reason is that the expectation of supply tightening has overshadowed concerns about slowing economic growth and increasing US inventory. On a macro level, recent economic data has also shown good performance, with retail sales in the United States growing 0.6% month on month in August, higher than expected growth of 0.2%. Last week, the number of initial claims for unemployment benefits increased to 220000, but lower than the expected 225000. The producer price index (PPI) of final demand in August increased by 0.7% month on month, higher than the expected 0.4% increase. The rebound in economic data indicates strong demand in the United States. In addition, China has recently introduced a series of positive measures. The People’s Bank of China announced on the 14th that it has decided to lower the reserve requirement ratio of financial institutions by 0.25 percentage points on September 15, 2023, which has also played a positive role in boosting market expectations.

Looking at the future, crude oil analysts from Business Society believe that both macro and fundamental factors will support oil prices in the short term. It is expected that oil prices will maintain a strong trend in the expectation of tight supply. However, as prices are currently at a relatively high level, the market should be vigilant against the correction caused by the release of bearish news

The factory price of Sinopec pure benzene has been raised twice in this cycle, with a cumulative increase of 450 yuan/ton during the week. Currently, it is executing at 8800 yuan/ton.

Other companies: Jingbo Petrochemical quoted 8900 yuan/ton, HSBC Petrochemical quoted 8800 yuan/ton, Weilian Chemical quoted 8823 yuan/ton, Xinhai Petrochemical quoted 8900 yuan/ton, and Hongrun Petrochemical quoted 8800 yuan/ton.

According to the Commodity Market Analysis System of Business Society, the price of pure benzene has significantly increased this week. On September 11th, the price of pure benzene was 8045 yuan/ton, and on Friday (September 15th), the price of pure benzene was 8834 yuan/ton, an increase of 13.25% compared to last week and 12.89% compared to the same period last year.

The K-bar chart of commodity prices uses the concept of a price trend K-line to reflect weekly or monthly price fluctuations in the form of a bar chart. Investors can buy and sell investments based on the changes in the K-bar chart. Red indicates an increase; Green indicates a decline; The height of the K-bar represents the range of fluctuations. The weekly K-bar chart of pure benzene shows that the pure benzene market has seen a positive trend in recent times. After ten consecutive weeks of decline, it has continued to rise for six consecutive weeks, slightly falling for three consecutive weeks, and rising by 9.84% this week.

From the perspective of the industrial chain, crude oil prices continued to rise during the week, reaching a high of $90 per barrel, breaking the new high for the year. The styrene market has continued to rise, reaching a new high for the year. Under the joint influence of upstream and downstream factors, the domestic pure benzene market has continuously increased. Sinopec has raised the price of pure benzene by 450 yuan/ton during the week, and it has now reached a high of 8800 yuan/ton. Driven by the sharp rise in the industrial chain, the hydrogenation benzene market continued to rise during the week, with factory prices in the main production areas rising to a high of 8800-8900 yuan/ton.

This week, the pure benzene market continued to rise sharply, while the hydrogenation benzene market followed the trend significantly. Driven by the overall rise of the industrial chain, the auction price of crude benzene continued to rise this week, with the Shandong region experiencing a significant increase of 7820 yuan/ton and an increase of 370 yuan/ton. In the Shanxi region, a slight increase of 7560-7650 yuan/ton and an increase of 90-190 yuan/ton will be implemented. In terms of supply, coking enterprises have recently started construction at a relatively high level, and the supply of crude benzene is relatively stable. In terms of demand, there has been little recent change. The downstream hydrogenation benzene operating rate has slightly increased, with little impact. The overall demand is relatively stable. In terms of the future market, there are obvious positive factors. Affected by the good expectations of the Golden Nine Silver Ten and pre holiday stocking expectations, the market procurement is relatively active. It is expected that the high consolidation trend of the pure benzene industry chain in the future will be the main focus, with a focus on the downstream pre holiday stocking plan.