1、 Price trend

The domestic xylene market price was stable this week, with the average domestic price of 3680 yuan / ton as of Friday, which was flat compared with last week.

2、 Analysis and comment

This week, the price of isomeric xylene is generally stable, compared with the previous period, the market price is slightly sluggish, and the transaction is not active. At present, the mainstream price in East China is about 3700 yuan / ton. As the outlook for crude oil supply and demand is not clear, the market is concerned about the trend of oil price and the secondary spread of overseas epidemic situation, the impact of the global economic recession on crude oil demand, and the news of the meeting of the OPEC + Joint Ministerial supervision committee, which will meet again on July 15.

Upstream, in terms of crude oil, the supply side and demand side formed expected pressure on oil prices during the Dragon Boat Festival: shale oil production in the United States rose sharply; the second outbreak of the global epidemic was confirmed; and the trade friction between Europe and the United States continued to escalate. Affected by this, crude oil prices briefly broke through the previous high and then fell back, and the probability of oil price fluctuations in the future increased. As of early Friday morning, spot Brent was down 4.51%, Brent futures was down 5.14%, WTI futures was down 2.96%, and Dubai futures was down 2.19%.

In terms of downstream, PX market, the listed price of Sinopec’s enterprises in China this week is about 4300 yuan / ton, and the latest external price is about 534 US dollars / ton FOB Korea and 552 US dollars / ton CFR China. It is expected that the PX market will maintain a stable trend in the short term. In terms of PTA market, the domestic PTA spot market price is about 3670 yuan / ton, and the external price is about 444 US dollars / ton CFR China. PTA price is expected to maintain a stable trend next week. In terms of ox market, Sinopec’s o-benzene price is stable at 4400 yuan / T, and the external price of o-benzene is about 515 US dollars / ton FOB Korea. It is expected that the price of o-benzene will maintain a stable trend next week.

3、 Future forecast

Xylene analysts of the chemical branch of the business society believe: in the short term, OPEC + production reduction, total number of oil drilling in the United States and EIA inventory situation in the supply cost side. In the medium term, on the demand side, the economic and trade situation in Europe and the United States, the impact of the second outbreak in Europe and the United States on the economic restart of crude oil demand, and the recovery progress of the industrial chain. Next week, we will focus on the secondary spread of overseas epidemic, the impact of global economic recession on crude oil demand, and the trend of international crude oil. On the whole, it is expected that xylene prices in the domestic market will adjust slightly next week.