Phenol Weekly Report 06 Oct 2018

Weekly Price Trend: 01-10-2018 to 05-10-2018

• 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 sharply and at the end of the week prices were assessed at the level of Rs. 145/Kg for bulk quantity.

Booking Scenario

INDIA & INTERNATIONAL

• This week domestic phenol market prices were assessed around Rs.145/Kg for bulk quantity. Prices have increased sharply.
• CFR India prices for this week were assessed in the range of USD 1480-1500/MTS, prices have increased in compared to last assessed values.
• This week in domestic market Phenol prices have escalated and reached to its higher level from Rs 130/kg to Rs 145/kg and domestic producer Deepak fertilizer has shut its phenol production resulted shortage of material.
• INEOS Phenol is in plan to expand its phenol production capacity at its Mobile site in the US state of Alabama by 57% from 540,000 to 850,000 mt/year, turning it into the largest plant in the world. This expansion will meet anticipated growth in demand and shows a clear commitment to customers to meet their long-term needs in North America, as per report.
• Presently US Phenol market has been extremely tight in recent weeks due to healthy demand.
• There has been heavy fluctuation in crude prices in this week. As the month of November is approaching fast the heat of sanction felt in the crude values across the world.
• On Thursday crude prices plunged due to rise in the inventory levels in US. But this hike was again pulled back on Thursday. Saudi Arabia and Russia has stated they will increase the crude supply but could not fill the void created by disruption of supply from Iran.
• With short supply from the price for crude is likely to reach a mark of $90 to $100 per barrel. On Wednesday, Saudi Energy Minister Khalid al-Falih said the kingdom was pumping near record levels and would raise output in November. Saudi Arabia is one of the few countries with the ability to significantly raise output. Many experts believe that the spar capacity of specified by Saudi is merely a statement but does exist in reality.
• On Thursday, closing crude values have decreased. WTI on NYME closed at $74.33/bbl. Prices have decreased by $2.08/bbl in compared to last closing prices. While Brent on Inter Continental Exchange decreased by $1.71/bbl in compare to last closing price and was assessed around $84.58/bbl.
• This week domestic and International prices of Phenol have increased sharply.
• This week Asian benzene prices up on firm crude,  ample supply to cap further gains.
• FOB Korea and CFR China prices of Benzene were evaluated at USD 875/mt and USD 880/mt respectively.

 $1 = Rs. 73.78
 Import Custom Ex. Rate USD/ INR: 74.60
 Export Custom Ex. Rate USD/ INR: 72.90