Weekly Phenol Report 16th October 2020
Weekly Price Trend: 12-10-2020 to 16-10-2020
- The above given graph focuses on the Phenol price trend for the current week.
- If we take a quick look at the above given week, there has been fluctuation in values for this week.
- Prices were assessed at the level of Rs.50.5/Kg for bulk quantity. Prices reduced by Rs.1/Kg for this week.
Booking Scenario
INDIA & INTERNATIONAL
- This week domestic phenol market prices were assessed around Rs.50.5/Kg for bulk quantity.
- There has been slight correction in prices in domestic market after a significant rise two weeks back.
- CFR India prices for this week were assessed in the range of USD 820-840/MTS for this week.
- FOB Korea values for Benzene were assessed around USD 420/MT for this week. CFR China prices were assessed at the level of USD 421/MT for this week.
- Discussion related to Phenol in US market remained blurred due to landfall of hurricane over there. Further antidumping probe is going on US Cargoes by India and China has also made the limited purchase.
- Indian government is working hard to provide more relaxations and financial help to the industry to overcome the adversities of pandemic. The steps include advance payment of a part of the wages of central government employees and allowing government employees to spend tax-exempt travel allowances on goods and services. All these measures are likely to create an additional demand of 730 billion rupees ($10bn).
- The Indian government will shore up investment by spending extra rupee (Rs) 250bn on roads, ports and defense projects, and offering Rs120bn rupees in interest-free 50-year loans to state governments for spending on infrastructure before 31 March 2021.
- The other major issue hurting Indian government is the over increasing number of Covid cases. Number of cases are expected to increase more and likely to exceed those in the US in the next few weeks given the rapid surge in infections in the past two months - 3m cases in September and 2m in August.
- The Reserve Bank of India kept its policy repurchase (repo) rate unchanged at 4.0% on 9 October, in line with market expectations and the second time that the central bank has kept its rates unchanged following the 40 basis points cut on 22 May this year.
- The emerging market giant is hurting from continued spikes in coronavirus infections - which constrain domestic economic activity - and a lacklustre external environment.
$1 = Rs. 73.34
Import Custom Ex. Rate USD/ INR: 74.25
Export Custom Ex. Rate USD/ INR: 72.55
