Price Trend

According to the data of business associations, the domestic toluene Market showed a slight pullback this week, with a weekly decline of about 0.6%, due to the effect of oil price pullback and long vacation.

II. Analytical Review

1. Products: Affected by the rapid recovery of Saudi crude oil production capacity, the recovery of oil prices, and the coming of long holidays in China, trading is becoming increasingly light. Despite the low level of port inventory support, the domestic toluene market is still showing a slight trend of retracement this week. At present, the mainstream price in East China is around 6400-6500 yuan/ton. According to the feedback from traders, the trading volume fell slightly from last week, and the port inventory remained low, at around 20,000 tons.

2. Industrial chain:

Upstream, crude oil, affected by the rapid recovery of Saudi oil production, this week’s oil price rebound, spot Brent fell 3.8%, Brent futures fell 5.11%, WTI futures fell 3.12%, Dubai futures fell 3.98%.

Downstream, TDI, this week’s price trend is stable, short-term TDI is expected to remain weak and stable trend. Outside prices rose slightly from last week, with FOB ARA Toluene TDI roughly around $682 per ton. In the PX market, the domestic PX price trend is stable, and the short-term PX market price is expected to maintain a stable trend.
3. Future Market Forecast

Xylene analysts from Business, Social and Chemical Branch believe that next week we will continue to focus on the trend of the Middle East situation, the progress of tariff imposition in Sino-US trade negotiations, and the European and American economies are worried about the expected fluctuation of demand for crude oil in the recession prospects. Due to the long-term holiday effect, the toluene market is expected to adjust its trend in a small way next week.