Price Trend

According to the data from a large number of business associations, propylene (Shandong) market prices rebounded after a slight fall in early October. At the beginning of the month, the average price of enterprises was 7488 yuan/ton; on the 11th and 12th days, the average price of enterprises was the highest, 7504 yuan/ton, an increase of only 0.21%; on the 5th and 6th October, the lowest price was 7448 yuan/ton, with an amplitude of 0.74%.

II. Analytical Review

Product: It is National Day holiday in early October. Due to the policy of limited production, the price of propylene maintained stable and occasionally declined during the holiday. After the end of the policy, most of the initial prices remain stable. On the 10th and 11th, the prices of enterprises rose. Today’s prices are stable. At present, the market turnover is around 7450-7650 yuan/ton, and the mainstream price is 7450 yuan/ton. Refinery stocks are slightly tight.

Industry chain: Upstream, due to the explosion of Iranian oil tanker, international crude oil has increased significantly, which has a certain lift effect on propylene. On the downstream side, a polypropylene powder factory in Shandong planned to stop at the weekend, which made the market more cautious.

PP spot price stabilized after falling 1.69% in early October, which had a slightly negative impact on propylene.

In early October, the domestic acrylic acid market also declined by about 3% and then stabilized, which has a certain suppressive effect on the price of propylene.

Propylene oxide showed a good trend in early October, up 4.19%, which could increase propylene price.

In early October, the price of epichlorohydrin has risen continuously, and now it has risen by nearly 9%, which is good for propylene market.

N-butanol declined by 3.47% in early October, which had a slightly negative effect on propylene.

Octanol declined to 4.8% in the first ten days of October, which suppressed the propylene market.

Isopropanol declined by about 2% in early October. The overall news is still short. The future market climate is not good, which is not helpful to propylene market.

In early October, phenol Market declined by 2.43%, or will continue to maintain this trend of shocks, lower propylene support effect is insufficient.

Acetone market declined 4.63% in early October, or continued to operate in a weak position, which was negative for propylene market.

3. Future Market Forecast

Propylene analysts at the Business, Social and Chemical Branch believe that in general, propylene rebounded after a downturn in early October. The explosion of Iranian oil tanker made the upstream crude oil market go up obviously; there were occasional parking rumors downstream, and the purchase was stable. Therefore, propylene prices in Shandong are expected to remain stable in the short term.