Monthly Archives: October 2019

In the third quarter, the price of phosphoric acid rose by more than 21%, and the future market will stabilize (7.1-9.30)

I. price trend


In the third quarter of 2019, the phosphoric acid market broke the routine, and the ups and downs came as a surprise. According to the bulk data list of business agency, the average price of phosphoric acid on July 1 was 4516.67 yuan / ton, and on September 30 was 5500 yuan / ton, with an overall increase of 21.77%%% in the third quarter.


II. Market analysis


Sodium selenite

Product: the first round of sharp increase in July was mainly due to environmental inspection factors. The shortage of yellow phosphorus supply led to the increase of market price. The raw material inventory is in a hurry, and the source of goods is hard to find. The high price of the carrier offers. The market of conduction phosphoric acid rose by 30.63% in July, with an average price of about 5900 yuan / ton. Most enterprises do not offer prices temporarily, and some enterprises have downtime plans. In the first half of August, the price of phosphoric acid market remained stable. In the second half of August, major enterprises began to lower their prices successively. As the price of upstream Yellow Phosphorus market fell under pressure, the market focus moved downward. In addition, Yunnan yellow phosphorus plant started construction in succession, the market supply increased, and the price of yellow phosphorus continued to fall. The price of phosphoric acid decreased under pressure, with a fall of 13.14% in August, with an average price of 5066.67 yuan / ton. In September, due to the impact of “three phosphorus treatment” on yellow phosphorus supply, the spot supply is tight, and the price is back to the high level, and the spot market is very tight. In addition, the stock preparation before the National Day holiday, the market price of thermal process phosphoric acid is supported by the favorable raw material end, and the price continues to rise, with an increase of 8.55% in September, and the average price is about 5500 yuan / ton. In the third quarter, due to the unstable raw material yellow phosphorus market, the conduction phosphoric acid market fluctuated. Entering October, the phosphoric acid market is becoming more and more stable, with occasional fluctuations, but the overall stable state is mostly.


Industry chain: in the near future, the phosphorus ore market continues to be weak and stable, and the high-end quotations of mining enterprises in some areas may be slightly reduced. The overall trading atmosphere in the field is weak, and the center of gravity in the field has a downward trend. At present, the new order volume is still small, the enterprise inventory is high, and many mining enterprises still deal with the previous orders, and the overall inventory of mining enterprises is slowly digested. Recently, the market price of yellow phosphorus has increased. According to the inspection by the central environmental protection group of Yunnan Province, the enterprises in Yunnan Province started to decline, and the market supply was tight. Some enterprises mainly supply early orders, and the external quotation price was increased. The phosphate Market is under construction, and some enterprises mainly digest inventory. The phosphate Market is weak in trading, and enterprises are cautious to wait and see the market.


Bacillus thuringiensis

Industry: according to the price monitoring of the business agency, in September 2019, there were 2 rising and 2 falling commodities in the price list of phosphorus chemical industry, and 1 rising and falling commodity. The main commodities that rose were yellow phosphorus (20.29%) and phosphoric acid (8.55%); the main commodities that fell were monoammonium phosphate (- 3.88%) and diammonium phosphate (- 2.42%). This month’s average rise and fall was 4.51%.


III. future forecast


According to the phosphoric acid analyst of Business & Social chemical branch, due to the impact of environmental protection, the raw material end is tight in stock and the cost side is insufficient. The demand of phosphoric acid enterprises is mostly in a state of cautious wait-and-see. The price fluctuates with the raw material end, and the on-site Trading is flat. It is expected that the price of phosphoric acid in the future will be dominated.

Benzalkonium chloride

Potassium sulphate demand is hard to get better and the market is not optimistic

I. price trend


This week, the weak operation of potassium sulfate, a single discussion of business transactions.


Chitosan oligosaccharide

II. Market analysis


The operation rate of Mannheim industry has slightly decreased to 54%, and the quotation of manufacturers has not changed greatly, but the actual transaction price of a considerable number of manufacturers is determined by the size of the order, leading to price confusion; the lack of cost support, low downstream demand, leading to continued cold of potassium sulfate Market. Mannheim potassium sulfate factory: Northeast 50% powder 2600 or so; 50% Extruded round particles 2750 or so. In Hebei Province, 50% of the powders are 2700, 50% of the granules and 52% of the total water-soluble powders are 2800. About 2750% powder, about 2850-2900% particles and 52% water-soluble powder in Shandong Province.

Sodium Molybdate


III. future forecast


Analysts of potassium sulphate of business association think that: the cost support is weak, the demand is hard to get a big improvement, and the potassium sulphate market is hard to get a big improvement in the short term, at least the high-end prices will continue to fall.

Positive news boosts PTA price to stop falling and rebound

According to the price monitoring of business agency, the price of PTA spot market rebounded slightly on October 24, with the market average price of 5004 yuan / ton, up 1.51% compared with the previous trading day, and down 31.13% year on year. In the futures market, the main futures of PTA also rose. By the end of the trading day, the main futures (2001) closed at 4942 yuan / ton, up 64 yuan / ton or 1.31% compared with the previous trading day. Daily trading volume increased by 158600 to 1414600, and position decreased by 106712 to 1502300.


Recently, several large-scale units are involved in maintenance, resulting in PTA load dropping to 89%. Next week, PTA supply side unit maintenance and restart coexist, Honggang petrochemical unit is restarted, Pengwei petrochemical unit is restarted; Hengli petrochemical unit 2 is planned to be overhauled on October 26, and Ningbo Yisheng, Jiaxing petrochemical, helun Petrochemical still has unit maintenance plans in November and December.


Chitosan oligosaccharide

Enterprise name capacity device dynamics

Ningbo Yisheng 200 plans to overhaul in November

220 short stop from October 18 to 21

Jiaxing Petrochemical planned to overhaul in November

Maintenance in December is planned for hailun Petrochemical 150

Honggang Petrochemical Co., Ltd. was overhauled on October 14 and planned to restart on October 28.

Pengwei Petrochemical Co., Ltd. stopped on October 18, 1990, and plans to recover within one week.

Yisheng Dalian 225 load reduction operation, planned to resume within 15 days

Hengli Dalian 220 stop for maintenance from October 7 to October 18

220 planned maintenance on October 26

Jialong Petrochemical Co., Ltd. shut down for maintenance on August 2, and restart to be determined

In addition, from the perspective of new production capacity, the new Fengming 2.5 million tons of equipment, of which 1.25 million tons of line is planned to produce grade products early next week. The single unit test run of the PTA project with an annual output of 1.2 million tons of China Thailand Petrochemical Co., Ltd. is coming to an end, which marks that the linkage test run of PTA plant is about to start. It will help fuel the feeding test run of PTA plant, and the market’s worry about the supply side will bring certain pressure on the price.


In terms of cost, the crude oil storage in the U.S. dropped unexpectedly, and the overnight oil price rebounded strongly. The closing price of PX market in Asia rose by $4 / ton, and the closing price was $765-767 / ton fob in South Korea and $785-787 / ton CFR in China, which had a certain positive impact. But the domestic PX production capacity is in the expansion cycle, the processing gap remains low, the price trend is temporarily stable, and the price of the mainstream factory is 6800 yuan / ton.


Potassium monopersulfate

The rebound of raw material market has boosted the polyester related products in the downstream. The price of mainstream polyester factories in Jiangsu and Zhejiang is stable and warm, with the increase of 50-100 yuan / ton for some specifications. Among them, polyester POY (150D / 48F) is RMB 7150-7300 / T, DTY (150D / 48F low elastic) is RMB 8750-9200 / T, FDY (150D / 96F) is RMB 7300-7550 / T. The comprehensive starting rate of Jiangsu and Zhejiang looms remained around 77%, and there was no obvious progress in the terminal, so the market was cautious.


Xia Ting, an analyst at the business club, believes that in summary, the recent progress in crude oil upward, PTA plant maintenance and Sino US economic and trade consultation has brought some support to PTA prices in the short term. However, as the new production capacity is approaching and the downstream demand is weak, the accumulated reservoir pressure is prominent, PTA is still likely to fall in the medium and long term.

ferric sulfate (Poly ferric sulphate)

Price deductive logic of styrene “falling constantly”

Styrene (EB) futures landed in Dalian Commodity Exchange on September 26. The benchmark price for listing was 8000 yuan / ton. Before the National Day holiday, the price of styrene futures had gone up more than 8000 yuan / ton, and then began to fall sharply.


As for the sharp drop of styrene price since the listing, we think there are three main reasons: first, under the expectation of new production capacity, the long-term is pessimistic, and the era of high profit of styrene will end. Second, styrene port inventory is expected. Third, the price of raw materials ethylene and pure benzene has declined, which gives styrene a room to decline.


For the future operation, in the case that the crude oil price does not rise sharply, based on the styrene production capacity input and the port accumulation expectation, we believe that the styrene price is easy to fall and hard to rise, with more single risks. In the later stage, the bottom of styrene or its cost line, it is recommended to rebound and short in operation.


Azodicarbonamide (AC foaming Agent)

I. The futures price keeps falling


The benchmark price of styrene listed on the market is 8000 yuan / ton. Since the listing, the highest price of styrene has risen to 8160 yuan / ton, and the lowest price is 7409 yuan / ton, with a price difference of 751. From the perspective of position, as new varieties become more and more active, under the short position increase, styrene price center of gravity is constantly moving down.


II. 2020 – the year of styrene production capacity


In 2020, the supply and demand pressure of styrene will be prominent, and the price will be under pressure in the medium and long term. According to our statistics on the new capacity input in the downstream of styrene and the estimated consumption of styrene, the demand for styrene is relatively insufficient. It is expected that styrene will gradually bear pressure with the input of styrene capacity.


By the end of 2020, it is expected that China’s downstream production capacity of 3.52 million tons will be released, corresponding to the consumption of styrene of 2.8123 million tons. At the same time, 6.012 million tons of styrene capacity will be put into production, which is theoretically surplus. Although the excess capacity can replace some imports, it means that the competition between domestic and foreign sources of goods will be more intense, and the price of styrene is still under pressure.


Although styrene has a huge production capacity delivery plan, we need to be alert to the low price, and styrene production capacity delivery is not as expected. For the current main contract eb2005, the production of the styrene unit of Zhejiang Petrochemical and Hengli is relatively certain, because the two units are both private large refining projects.


III. high profit era of styrene is coming to an end


Long term pessimistic, styrene production profits continue to be compressed. According to our calculation, since 2017, the maximum profit of styrene production is 4911 yuan / ton, and the minimum is – 612 yuan / ton. At present, the main contract of styrene is eb2005. Based on the expectation that the long-term styrene capacity will enter into excess, the market is pessimistic, the spot price is obviously affected by the futures price, and the styrene production profit is constantly compressed. On the first day of listing, the styrene production profit was 1025 yuan / ton. As of October 22, the styrene production profit was compressed to 412 yuan / ton.


Cost moves down, giving the market space to sell short. The upstream of styrene corresponds to pure benzene and ethylene. Generally speaking, it needs 0.79 tons of pure benzene and 0.29 tons of ethylene to produce 1 ton of styrene. Since the listing of styrene, the price of downstream ethylene and pure benzene has also weakened due to the impact of the sharp weakening of crude oil price. As of October 23, the price of Northeast Asian ethylene was 681 US dollars / ton, and the price of pure benzene was 5650 yuan / ton, down 170 US dollars / ton and 120 yuan / ton respectively compared with the first day of listing. The cost of a significant move down, but also give the futures market enough short space. We believe that unless extreme geopolitical events take place or OPEC further deepens production reduction, it will be difficult for international crude oil to rebound significantly under the weak demand and the expectation of accumulated reserves. Corresponding to the price of ethylene and pure benzene is also difficult to strengthen, short-term cost end is difficult to give styrene enough support.


IV. no obvious improvement in demand



The demand is weak, and the downstream takes the goods carefully. EPS, ABS and PS account for 70% of the downstream demand of styrene. Recently, the price of styrene has been declining one after another, and the price of EPS, ABS and PS has also been declining one after another, which shows that the current terminal demand is not strong enough, and the price of styrene downstream is weak. At present, the downstream of styrene is more cautious in taking goods and strictly controlling inventory. The demand is mainly rigid demand. In addition, 48% of the demand for EPS terminals is in the board industry, so with the coming of winter, the demand will gradually weaken. Part of styrene supply in Northeast China will flow into East China.


V. under the expectation of accumulation, the rebound of styrene price is blocked


Styrene inventory is expected. Generally speaking, the normal inventory level of styrene in East China is 80000-150000 tons. As of October 23, the inventory of styrene in East China’s main port is 101100 tons. (among them, the ships scheduled to arrive at the port on October 23 haven’t been berthed yet, so they haven’t been put into storage. )Although the current inventory level is within the normal range, according to the statistics in Table 3, 92600 tons of cargo will arrive at the port according to the plan in the next five days. Under the condition that there are a lot of goods arriving at the port, but the downstream digestion speed is limited, there is a strong stock accumulation expectation for styrene in the future market. Under the pressure of accumulation, although the current styrene price is low, the rebound is blocked.


Vi. summary and operation suggestions

To sum up, eb2005, the main contract of styrene, is facing the following pressure: first, medium and long-term capacity supply pressure. The production of 1.2 million T / a styrene unit of Zhejiang Petrochemical Co., Ltd. and 720000 T / a styrene unit of Hengli Petrochemical Co., Ltd. is relatively certain, because the two units are both refining and chemical integration projects, and their production is more following the progress of large-scale refining and chemical industry. Second, the accumulated stock pressure at the end of the year. Based on the unremarkable demand and a large number of goods arriving at the port, styrene port has a strong stock accumulation expectation at present. The long storage time of styrene is easy to lead to the polymer content exceeding the standard, so the increase of port inventory will greatly reduce the price of styrene.


On the premise that crude oil price does not rise sharply, we don’t think there is any good news for styrene fundamentals at present. Subject to the above two pressures, styrene prices are prone to fall and difficult to rise, and it is recommended to rebound short in operation. As of October 23, the spot cost of styrene is 7253 yuan / ton. For the bottom price in the future, if there is a large accumulation of goods at the port, it is not ruled out that the price of styrene will be closer to the cost end.


Note: the spot cost of styrene is variable, so we need to pay more attention to the price of upstream crude oil, ethylene and pure benzene in the future.


The peak season is not good, glycol all the way down the situation has been set?

1. Preferential promotion of polyester filament, limited production and marketing promotion


2. The price of polyester staple fiber increases with narrow width, and the downstream demand is weak.


3. Polyester power on load remains high, but negative load reduction is expected to be strong.


4. Ethylene glycol is suppressed by the demand side and the supply side, the market trend continues to be weak, and the profit of each process ethylene glycol has declined to varying degrees. Basically, they are all below cost, which generally drags down market confidence and causes the downstream to take goods cautiously. The short-term MEG market is full of weak sentiment, but at present, the price has been in a relatively low position, the market has relatively limited space for a sharp decline, and the probability of low-level oscillation is relatively large.




I. Basic Analysis of polyester


1. Preferential promotion of polyester filament, limited production and marketing promotion


Polyester products are used to connect upstream raw materials and end consumption products. Polyester industry peak season “golden nine silver ten” is close to the end, peak season is not prosperous, polyester filament as the main downstream products, the terminal demand for its gradually weakened, downstream factories through many preferential promotions to improve production and marketing, but the overall trend is still weak operation.


2. The price of polyester staple fiber increases with narrow width, and the downstream demand is weak.


In the aspect of short fiber, due to the cost loss in the early stage, although the factory has been boosted by the macro news and the price has been increased by a narrow range, the downstream demand is weak and the terminal is weak, which leads to the factory’s inventory rising, the market mentality is poor and the consumer confidence is insufficient.


Benzalkonium chloride

3. Polyester power on load remains high, but negative load reduction is expected to be strong.


The start-up load of polyester is still at a high level. According to the operation rate of polyester plant, new production, plant maintenance and other plans, the estimated output in October is about 4.4 million tons. However, due to the weak performance of the downstream weaving and terminal clothing home textile industry, there is great uncertainty in the long-term high start-up of polyester plant under the condition of low production and sales and low profit. Therefore, under the expectation that polyester plant may reduce production actively in the fourth quarter, polyester production is expected to be lowered, further weakening the support of glycol demand end.


II. Basic analysis of glycol supply and demand


1. Under the expectation that the new unit will be put into operation, the favorable support for the decrease of the starting load of domestic glycol is limited.


From the perspective of domestic supply, in October, domestic glycol factories began to overhaul one after another. In recent years, the operating load of ethylene to glycol is around 56.07%, the operating rate of coal to glycol is around 58.61%, and the comprehensive operating rate of glycol is 58.15%, which is significantly lower than the previous period.


In the fourth quarter of 2019, it is expected that new devices in glycol market will be put into operation gradually. With the production time of the unit approaching, the glycol market is facing the turning point of stock removal and accumulation, and the pressure at the supply end is increasing. The supply reduction brought by the maintenance of the unit is difficult to form an effective good support.


2. The port inventory falls to a low level, and the arrival volume is very important.


In terms of port inventory, as of October 17, MEG port inventory in East China’s main port area decreased steadily, with 611000 tons of port inventory, down 28000 tons from the previous period. According to CCF statistics, it is estimated that the total arrival volume of MEG in East China next week will be around 198000 tons, which is neutral and stable.


Sodium Molybdate

In 2019, it is planned to put 5.65 million tons of ethylene glycol capacity into production at home and abroad. The target exporting countries of foreign devices are mainly concentrated in China, and the supply pressure is still large.


3. The decline of glycol profit, dragging down market confidence


The price of glycol is at a low level, and the domestic operation situation is relatively low. After the trend of short market consistency, the dynamic changes of glycol market price and profit have attracted much attention. At present, glycol gross profit has declined to varying degrees. Basically, they are all below cost, which is a drag on market confidence as a whole.


From the current situation of MEG supply and downstream demand, although the polyester factory’s intention of replenishment has declined, the level of port delivery has fallen, and the progress of port inventory de stocking has slowed down significantly; however, in October, it still showed a large amount of de stocking, mainly reflected in the polyester factory’s raw material inventory de stocking. In the fourth quarter of MEG, there will still be a large amount of inventory de stocking without considering the new devices. In addition, when the new unit is put into operation, in the fourth quarter of 2019, an additional 110000-220000 tons (50% – full load) will be added, and the balance of MEG supply and demand will be maintained at the level of – 60000-50000 tons in the fourth quarter, so the probability of MEG inventory not accumulating in the fourth quarter is relatively large.


Ethylene glycol is suppressed by the demand side and the supply side, and the market trend continues to be weak. The profit of each process ethylene glycol has declined to varying degrees. Basically, they are all below cost, which generally drags down market confidence and causes the downstream to take goods cautiously. The short-term MEG market is full of weak sentiment, but at present, the price has been in a relatively low position, the market has relatively limited space for a sharp decline, and the probability of low-level oscillation is relatively large.

On October 23, copper prices fell slightly by 0.32%

I. trend analysis


As shown in the figure above, today’s domestic copper price is down slightly, while copper price is down slightly. The quotation is 47036.67 yuan / ton, 0.32% lower than the previous day, 2.33% lower than the beginning of the year, and 3.55% lower than the previous year.


II. Market analysis


Azodicarbonamide (AC foaming Agent)

On the basic level, there is interference at the mine end, copper mine is still tight, smelter has no maintenance, TC is slightly increased, refined copper supply is abundant, downstream consumption, grid investment is still expected, and demand will be improved. After the National Day holiday, the domestic community storage of refined copper continued to accumulate, and the inventory in the bonded area was still declining. On the macro level, the global macro situation is not good, causing demand side concerns.


III. future prospects


According to the above situation, copper analysts of nonferrous branch of business cooperation think that copper price lacks direction in short-term operation, and the price mainly fluctuates.

ferric sulfate (Poly ferric sulphate)

PVC futures market repeated, short-term weakness unchanged

Near the end of October, PVC market trend has not been changed, mainly slightly loose. Shandong Xinfa, Henan Lianchuang, Taishan salt chemical and other PVC enterprises maintained well without strong support. Affected by the continuous exploration of futures, prices in South China, East China, North China and other major sales regions have been reduced to varying degrees, but the range of price reduction is not large. The main purpose of the traders is to deliver goods, so as to facilitate the transaction. The downstream receiving is general, and the receiving is acceptable in some areas, most of which are transacted with small orders, and the low price accounts for more. As of October 22, the main stream of calcium carbide 5-type material in East China market is about 6550-6630 yuan / ton, and the main stream of ethylene material is about 7050-7350 yuan / ton; the main stream of calcium carbide 5-type material in North China market is about 6500-6680 yuan / ton, and the main stream of ethylene material is about 6920-7070 yuan / ton; the main stream of calcium carbide 5-type material in South China market is about 6640-6800 yuan / ton, and the main stream of ethylene material is about 7130-7300 yuan / ton. Then, what will happen to PVC? Let’s analyze:

Potassium monopersulfate


From the perspective of futures, as of October 22, Dalian pvc2001 contract opened in low volatility, opening 6320, high 6365, low 6315, closing 6320, down 5, down 0.08%. Trading volume was 119950, with positions reduced by 2838 to 324002. Technically, KDJ index is dead fork, MACD index green column is slightly shortened, and air force is still dominant. On the trend, the waterfall line is spread in a short position, and the brin passage is still in a weak area, so the trend is still weak. PVC futures are expected to maintain low volatility in the short term. Pay attention to 6400 line pressure at the top and 6250 line support at the bottom. In operation, it is recommended to operate in 6250-6400.


Favorable factors: the overall supply of some enterprises is relatively reduced due to maintenance; the social inventory continues to decline, and the inventory of some enterprises is relatively low, which is good to some extent; the price of raw calcium carbide remains stable after a small drop, and the cost still has some support.



Negative factors: the mentality of the market merchants is short, and the transaction gives way to the profit; the downstream receiving basically maintains small orders, and the low price transaction is too much, some of them still remain wait-and-see attitude; the futures trend is still weak, which has certain pressure on the price.


On the whole, plastic rice city that the recent PVC market multi-dimensional consolidation trend, small loose still exist. In addition, in the later stage, we still need to pay attention to the influence of macro aspect, futures trend, national policy and downstream receiving.


Weak operation of polypropylene price

Since the middle of September, the price of polypropylene has fluctuated downward. On the one hand, it is affected by the crude oil price, and on the other hand, it is due to the flat demand performance. Looking forward to the future, the cost support from the crude oil end will weaken, and the supply pressure will gradually release, but the inventory will move down, the demand is difficult to have a bright spot, and the PP price may continue to be weak.


Benzalkonium chloride

Increasing supply pressure


Recently, new polypropylene units have been put into production intensively, and the supply pressure is gradually emerging. Not only did Baofeng phase II start up smoothly, Dongguan juzhengyuan get through the whole process, but also Daqing Refining and chemical, Dushanzi petrochemical, Shenhua Xinjiang and other units that were overhauled in the early stage started up in succession. At present, the operating rate of polypropylene enterprises is about 97%, which is at a high level, and the supply materials will be abundant.


Spot price down


In terms of inventory, polypropylene inventory has declined since October 9, and as of October 18, it dropped to 403300 tons, reducing inventory pressure. On October 18, the factory price of petrochemical wire drawing grade was partially reduced, the price of petrochemical wire drawing in East China was reduced by 100 yuan / ton, and the price of PetroChina wire drawing in Northeast and Northwest China was reduced by 100 yuan / ton. With the spot price down, the basis is gradually repaired, and the period price is also under pressure.


Limited demand boost


As the domestic economy is under pressure, the overall consumption in the downstream is not performing well. Due to the limited orders and overstocked finished products, the enthusiasm for raw material procurement is insufficient, and the wait-and-see mood is relatively strong, mainly on-demand procurement. The overall demand of this year is worse than that of previous years, and the operating rates of plastic knitting and BOPP are lower than that of the same period in the past three years.


Weak cost support


For the week ended October 18, the number of active US oil wells increased by one to 713, the first two-week increase since June. Iran’s oil minister zangane said the U.S. sanctions failed to curb the development of Iran’s oil industry or reduce investors’ concerns about geopolitical risks, thus to some extent driving down crude oil prices.


Sodium Molybdate

Technically speaking, the main contract pp2001 is lower than the 60 day average for three consecutive days, and it is under the pressure of the brin middle track. The opening of the brin channel has the potential to enlarge. MACD extends below the zero axis, which is slightly empty technically.


To sum up, with the introduction of new capacity and the resumption of production of early maintenance devices, the pressure on the supply side will gradually become prominent. However, the demand side is subject to the slowdown of economic growth, so it may not have bright spots as a whole. The support of cost side is weakening, and the price is under pressure. The risk factors lie in the continuous decline of inventory, and the aggravation of geopolitical risks driving up the overall price of chemicals.


Operation plan


1. Contract selection: select the main contract pp2001 with active transaction.


2. Build warehouse: build warehouse in batches. Pp2001 selects a machine to build 100 empty orders between 8050-8080 yuan / ton. The deposit occupied is about 800000 yuan and the capital occupied is about 8%.


3. Stop gain and stop loss: set the stop loss range as 8220-8270 yuan / ton with the middle track of brin as the reference; set the stop gain range as 7800-7830 yuan / ton with the low point in the early stage as the reference.


4. Risk control: in case of adverse market changes, strictly implement stop loss plan.

On the weakness of China’s domestic DMF market on October 21

I. price trend



According to the data monitored by the business association, on October 21, the market of domestic DMF was weak. As of October 21, the quotation range of domestic top-grade DMF enterprises was 5500-5700 yuan / ton, and the focus of field negotiation was low-end.


II. Market analysis


Products: as of October 21, Shandong Hualu Hengsheng dmf5600-5700 yuan / ton, Henan Junhua dmf5500 yuan / ton, Zhejiang Jiangshan chemical dmf5700 yuan / ton, Anyang Jiutian dmf5600 yuan / ton, Yanchang Xinghua dmf5500 yuan / ton, Shandong Jinmei daily and monthly dmf5300 yuan / ton.


III. Market Analysis


ferric sulfate (Poly ferric sulphate)

Product: over the weekend, the market atmosphere of domestic DMF market is light. With the commencement of Luxi plant, the supply of goods increased, and the inventory pressure was significantly relieved. Other factories maintained a stable wait-and-see shipment, and the downstream just needed procurement was the main, procurement was not active, and the wait-and-see atmosphere was strong. The business agency expects the domestic DMF market to weaken this week.


IV. future forecast


According to DMF analysts of business agency, in the short term, DMF price consolidation and operation are the main factors, while the long-term market still needs to wait and see.


On October 22, nickel price fell slightly by 0.35%

I. trend analysis


According to the nickel price monitoring of the business association, the current nickel price on October 22 is 128016.67 yuan / ton, down 0.35% from the previous trading day, up 43.02% from the beginning of the year, up 25.62% year on year.


II. Market analysis


Azodicarbonamide (AC foaming Agent)

Recently, nickel price has been declining. In terms of fundamentals, Indonesia’s early ore ban will lead to a domestic nickel iron gap next year, and the Philippines’ supply increase will be limited, which will lead to a domestic shortage of 130000 metal tons. However, the downstream stainless steel production profit declined, the existing steel plants stopped production, the demand for nickel decreased, and the nickel price was under pressure.


III. future prospects


Future market forecast: supply and demand are weak, LME nickel plate inventory is at a historical low, which has certain support for nickel price. In the early stage, the prohibition of mining was good news consumption. Now, nickel is mainly weak earthquake, and it is expected that nickel will still fluctuate in a weak trend in the short term.