According to the data monitoring of SunSirs, as of September 28, 2022, the average ex factory reference price of domestic MEK market was 9,933 RMB/ton, which was 900 RMB/ton higher than the price on September 1 (the reference price of MEK was 9,033 RMB/ton), an increase of 9.96%.
Analysis review
It can be seen from the data monitoring chart of SunSirs that from September 1 to 29 (9.1-9.29), the domestic MEK market generally rose. With the advent of "Golden September", the trading atmosphere in the MEK market improved, and the cost also gave some support. The on-site operating rate of MEK market was low, there were many plant shutdowns for maintenance, the on-site spot supply was tight, and the supply side also provided support to the MEK market. Since the beginning of the month, the MEK market had seen a rise. As of September 15, the domestic MEK market price was around 9,500-9,800 RMB/ton, with a rise of more than 6% in the first half of the month
In the second half of September, the overall growth of the MEK market slowed down, and the operation was mainly stable. On the 19th, supported by the continuous shortage of on-site supply, some businesses raised the price of MEK by about 100-200 RMB/ton. Subsequently, the market continued to maintain consolidation and operation, and near the end of the month, the overall MEK market rose again slightly. The spot supply was tight, and the suppliers of goods raised the price slightly by 100 RMB/ton. As of September 29, the domestic market price of MEK was around 9,900-10,100 RMB/ton. It rose 3.47% in the second half of the month.
On the upstream side, in September, the domestic liquefied gas market was dominated by weakness. The Shandong civil liquefied gas market was consolidated in a narrow range in the first half of the month and fell significantly in the second half of the month. Although it ushered in the traditional peak season, in September this year, the domestic liquefied gas market as a whole was dominated by weaknesses. The Shandong civil liquefied gas market showed a narrow consolidation trend in the first half of the month, and fell continuously in the second half of the month. On the whole, the decline in September was relatively obvious, showing a weak market in the peak season. According to the data monitoring of SunSirs, the average price of liquefied gas in the civil Shandong market was 5,930.00 RMB/ton on September 1. On September 26, the average price was 5,560.00 RMB/ton, down 6.24% in the month.
Market outlook
The National Day holiday is coming, the logistics transportation will be stopped in succession, and the downstream demand stocking will also be ended. The demand side gave general support, but the tight supply continued to support the mentality of the industry. Therefore, the MEK data engineer of SunSirs believes that in the short term, the MEK market will not change much, and it will mainly adjust and operate in a stable and narrow range. Specifically, it is necessary to pay more attention to the news changes on the supply and demand side.
