On March 8th, the styrene spot rose to 10050 yuan/ton and quickly dropped after a transaction. As of March 10, it dropped to 9050 yuan/ton, down 1,000 yuan; EB05 fell from 9896 yuan/ton to 8616 yuan/ton , Fell 1280 yuan.
The three downstreams maintained the trend of accumulating inventory as a whole, and Jiasheng continued to decline in load this week. Last week, Huizhou Xingda, Zhuhai Rengeng, Dongguan Xinchangqiao, Hairong and other parking devices restarted, but the load was low, and some devices started and stopped due to high inventory. Although there are spot purchases of Baolong and Dragon King within the day, the EPS price cuts are small, and downstream buying is sluggish. The other downstream sectors maintained their low-end start-ups, and there was no obvious improvement in demand.
After a year, styrene was stopped by peripheral devices and driven by external disks, domestic profits rose sharply, squeezing downstream profits, mainly squeezing EPS and PS, and ABS profits fell after a correction.
Currently, Sinopec ethylene is listed at RMB 8,800/ton, pure benzene is RMB 6,750/ton, and the cost of styrene is RMB 8,685/ton. EB05 closed at 8873. Styrene cost -EB05=188 yuan/ton, cost support is acceptable.
According to incomplete statistics, the total inventory of styrene in Jiangsu is currently 185,900 tons, a decrease of 8,600 tons from the previous month; the commodity inventory is at 176,400 tons, an increase of 15,900 tons from the previous month. The factory inventory is slightly accumulated, which shows that the delivery of styrene has weakened. The export shipments this week are mostly concentrated in the second half of the week, and the inventory is expected to decrease next week.
With the expected realization of Sinochem Quanzhou's mid- to mid-March and Shell's start of production at the end of March, the interval between the de-stocking of the styrene terminal and the commissioning of new equipment has been reduced, resulting in a limited time for bulls to pull up. Terminal depots are mainly concentrated from mid-March to April. According to Longzhong's statistics, 100,000-120,000 tons of styrene needs to be exported in March, mainly to Southeast Asia and Northeast Asia. With the recent tightening of loans by the country, limited liquidity of funds, and weak crude oil consolidation situation, it is difficult for styrene to break through its previous highs. Be wary of bullish gains and pay attention to changes in downstream production and sales.
