Phenol Weekly Report 22 March 2019 23 Mar 19, 11:21 am

Phenol Weekly Report 22 March 2019

Weekly Price Trend: 18-03-2019 to 22-03-2019

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 remained highly vulnerable and has been turbulent for this week.
By end of the week prices were assessed at the level of Rs. 88/Kg for bulk quantity. Prices have reduced significantly in domestic market. This week domestic values have reduced by Rs.6/Kg for bulk quantity. The fall in values is on back of plenty of supply in the domestic market.

Booking Scenario

INDIA & INTERNATIONAL

This week domestic phenol market prices were assessed around Rs.88/Kg for bulk quantity. Prices reduced by Rs.6/Kg for bulk quantity.
CFR India prices for this week were assessed in the range of USD 1210-1230/MTS, reduced by USD 30/MT in compare to last week’s closing values.
Benzene the major source for Phenol on contrary has improved for this week. Benzene FOB Korea prices were assessed at the level of USD 625/MT, increased by USD 20/MT in compare to last week’s closing values. On other side CFR China prices were assessed at the level of USD 620/MT, increased by USD 10/MT for this week.
China based Shiyou Chemical has announced its maintenance schedule for tits Phenol-Acetone unit. The unit will undergo maintenance by March end. Earlier it was scheduled for shut down on 10^th March. Due to some issues the maintenance program has been delayed. It is likely to remain off-stream for around 25-30 days.
Unit is based at Yangzhou, in Jinagsu province of China and has the production capacity of 220,000 and 130,000 respectively.
Indian currency has also strengthened against dollar in last few weeks. This has been one of the strongest performances of rupee against dollar since last few years.
Crude prices continued its rally for this week. The oversupply of crude is no more in United States but it will not have major impact on prices.
Many analysts and market observers believe that oil prices will move much higher with OPEC+ production cuts, declining U.S. inventories and a relatively strong global economy assuming that U.S.-China trade talks have a happy ending.
Now Iranian customers have also started negotiating with the U.S. on possible waiver extensions to continue buying oil from Tehran.
The U.S. waivers for eight key Iranian oil customers, including China, India, Japan, and South Korea, will expire in early May. While the U.S. Administration says that it continues to pursue zero Iranian oil exports, analysts expect Washington to extend waivers to at least a few of the currently exempted buyers, with reduced volumes allowed under the new waivers, as the Administration wouldn’t want to push oil prices too high.
On Thursday, closing crude values have decreased. WTI on NYME closed at $59.98/bbl. Prices have decreased by $0.25/bbl in compared to last closing prices. While Brent on Inter Continental Exchange decreased by $0.64/bbl in compare to last closing price and was assessed around $67.86/bbl.