Phenol Weekly Report 10 Aug 2018

Weekly Price Trend: 06-08-2018 to 10-08-2018

• The above given graph focuses on the Phenol price trend for the current week.
• If we take a quick look at the above given weekly price trend it can be observed that this week domestic market prices of Phenol have increased and at the end of the week prices were assessed at the level of Rs. 106/Kg for bulk quantity.

Booking Scenario

INDIA & INTERNATIONAL

• This week domestic phenol market prices were assessed around Rs.109/Kg for bulk quantity. Prices have increased.
• CFR India prices for this week were assessed in the range of USD 1365-1385/MTS, prices have increased in compared to last assessed values.
• This week Phenol market is moving with soft-to-stable velocity no major deals and discussion has been heard.
• This week domestic phenol prices have increased while International prices have plunged.
• There has been continuous rise in Phenol prices since last few weeks on back of tightened supply as many turnaround are observed. Major producer Sinopec increased its domestic offers for phenol in east China on 6 August by yuan (CNY)400/tonne ($59/tonne) to 9,800/tonne, in line with an increase in phenol spot prices in the market.
• Harbin Bluestar, Huizhou Zhongxin Chemical and Sinopec Mitsui either have launched or plan to launch maintenance at their phenol/acetone unit in August leading to weakened supply of Phenol to some extent.
• Prices for upstream Benzene have also remained firm in the China market. Market participants believe that benzene demand will likely pick up further, on the back of high operating rates of downstream SM plants giving support to benzene prices. 
  This would mean higher costs for phenol makers, which would support higher values of the material.
• China based Huizhou Zhongxin has shut down its Phenol unit for maintenance turnaround. The unit was shut down on 3rd August and is likely to remain off-stream for around one month. Unit is based in South China and has the manufacturing capacity of 1,82,500 tonnes/year.
• Thailand's PTT Phenol II restarts after electrical issue.
• This week oil prices have followed volatile trend. On Thursday Crude prices held near lower levels set in the previous session, as the escalating China-U.S. trade dispute cast doubt on the outlook for oil demand.
• On Thursday, closing crude values have decreased. WTI on NYME closed at $66.81/bbl. Prices have decreased by $0.13/bbl in compared to last closing prices. While Brent on Inter Continental Exchange decreased by $0.21/bbl in compare to last closing price and was assessed around $72.07/bbl. Both benchmarks tumbled more than 3 percent after U.S. data showed a smaller-than-expected weekly draw in crude inventories and a surprise build of 2.9 million barrels in gasoline supplies.
• This week benzene prices have increased.
• PetroChina northwest sales branch lifts benzene by CNY100/tonne.
• East China benzene inventories drop to 181,000 tonnes.
• China’s Sinopec raises benzene prices.
• FOB Korea and CFR China prices of Benzene were evaluated at USD 875/mt and USD 885/mt respectively.

 $1 = Rs. 68.87
 Import Custom Ex. Rate USD/ INR: 69.25
 Export Custom Ex. Rate USD/ INR: 67.55