Acetone Market Declined by Around 2% in Oct 2017
The Chinese acetone market increased first and then moved down in October 2017. After the National Day holiday, the trading sentiments were active. Holders raised prices gradually and the dealing prices went up. However, the up trend lasted for only two days. In H2 October, the acetone market showed a down trend. On the one hand, the downstream demand for acetone was influenced. On the other hand, most units, except Sinopec Beijing Yanshan Company, ran normally and the imported acetone also arrived at ports. The overall supply became slightly surplus. Moreover, the demand was flat.
Up to October 31, the closing price for acetone in Jiangsu was RMB 5,475/mt or so, down RMB 200/mt from last month. The average price this month was RMB 5,613/mt, down RMB 124/mt or 2.18% month on month.
Supply & Demand:
The acetone unit at Sinopec Beijing Yanshan will restart in early November. Other units will run normally. It is predicted that the supply will continue to be ample in November.
The USD offers (CFR China) remain high. The negotiation interest is low. Hence, the imported goods may be less than that in September and October.
The demand will be largely stable.
On the whole, the acetone market will continue to move marginally in November. Players should focus on the buying interest. If the crude oil market rebounded greatly, the acetone market may rebound slightly.
Disclaimer: Echemi reserves the right of final explanation and revision for all the information.