Glacial acetic acid
After the glacial acetic acid market bottomed out and rebounded slightly recently, the market trading atmosphere has turned from good to weak. At the beginning of the week, glacial acetic acid stocks still showed a downward trend, traders and downstream replenishment were staged, the market trading atmosphere was good, and factories gradually pushed up prices. However, due to the high supply and demand in the market, the gradual overhaul of vinyl acetate in northwest China, the increase in acetic acid supply, and the focus on contract execution after the willingness of downstream replenishment in other regions has passed, the market trading atmosphere has gradually weakened. However, as export orders from East China are still acceptable, the overall trading atmosphere in each region varies.
Inventories of glacial acetic acid have declined in all regions, especially in East China. The inventories of various companies have remained at a low level. Inventories in the Northwest, North and Central China have declined. Recently, the export volume has increased slightly due to the failure of foreign equipment, and the market has a strong atmosphere of oversurge. In the early stage, we waited to see the downstream and some traders taking goods one after another, so the inventory of enterprises has declined. It is expected that corporate inventories may continue to decline in the short term.
Ethyl acetate
At the beginning of the week, the market price of ethyl acetate rose as expected. At the same time, the prices of raw materials acetic acid and ethanol increased slightly, and the cost side supported the market’s bottom mentality. However, the downstream chasing atmosphere was more cautious, maintaining the pace of rigid demand consumption, and it was difficult to see incremental buying in the market. Subsequently, the price stabilized again, and the market showed a periodic increase in volume. However, some early port supply prices were low, which continued to lower the market receiving price. However, the performance of upstream production and sales is acceptable. Some factories rely on export orders and have little pressure on their own shipments. Under the chasing buying orders from downstream, market purchasing intensity is good and prices rise again. However, there are still many industry players who are cautious in their long-term attitude, considering that the raw material acetic acid market is unstable and the terminal demand consumption is still inconsistent.
In the short term, with improved supply and demand fundamentals and cost-end support, mainstream factories are actively supporting the market. However, there are still industry players who are bearish on forward costs, and the current factories have a certain profit margin. In the later period, traders’ active arbitrage shipments will restrict trading, and the market may once again fall into a stalemate. It is expected that the market price of ethyl acetate will fluctuate within a narrow range next week.
Butyl acetate
The market price of butyl acetate increased at the beginning of the week. Mainly due to the rebound in the prices of raw materials acetic acid and n-butanol, the reappearance of market support from the cost side, and the demand for replenishment of downstream stocks after early consumption, some actual orders have improved. However, due to their own shipping needs, individual factories lack the motivation to adjust prices and choose to consolidate and increase shipments. In the later period, the price of n-butanol, the raw material, continued to rise, with solid cost-end support, downstream buying willingness was acceptable, individual factories made up for the increase in their offers, and market trading sentiment was smooth. Then, as the periodic buying orders were withdrawn from the market, the willingness to enter the market for purchasing was not satisfactory, and the buying momentum was dull again.
Looking at next week, market supply will continue to remain high, and the recent sharp increase in external prices may stimulate exports to improve, thus supporting domestic prices. However, the prices of raw materials n-butanol and acetic acid are unstable, and risks on the raw material side continue to exist. Speculation needs to be cautious. . It is expected that the price range of butyl acetate market will be adjusted next week.
Post time: Mar-15-2024