Sinopec and other major units of asphalt factory prices were stable, weather turned cold, domestic asphalt market demand support was limited. However, the sharp rise in international crude oil prices led to an overall upward trend in domestic asphalt prices. According to the price monitoring data of SunSirs, the asphalt price was reported to be 2,287 RMB/ ton on November 13, which was 0.77% higher than that at the beginning of the week.
Previously, Pfizer announced that its new crown vaccine had made a major breakthrough, and market optimism was high; Saudi Arabia's energy minister said at the meeting on Monday that if OPEC+ reached an agreement, the production reduction agreement might be adjusted, which also pushed up oil prices. In the later period, OPEC monthly report showed that it lowered the expectation of OPEC crude oil demand again; EIA sharply reduced the growth prospect of global oil demand in 2021 and other negative news, and international oil price in the later part of last week slightly reversed, with WTI crude oil price increasing 8.05% and Brent crude oil price increasing 8.44%.
The domestic asphalt market demand is relatively stable this week: the rising international oil price stimulates the main refineries in East China, Shandong and other regions to ship; the northeast and northwest regions are affected by the temperature, and the demand for asphalt is reduced, and the production of coking materials and marine fuel is changed; the adverse weather also affects the demand for terminal asphalt in North China; the terminal demand in southwest and South China is relatively stable. On the whole, the demand of asphalt market is fair, and the international crude oil price drives up the price center of asphalt.
SunSirs analysts believe that the international crude oil price is lack of sustained action; and road construction is gradually entering the off-season, the asphalt market demand is constrained, and China domestic asphalt price is expected to be stable and downward in the short term.
