March is about to pass, starting with a vigorous rise and ending with a sharp decline! Yesterday, DMC of Shandong monomer factory took the lead in falling below 30000 yuan, with an offer of 29000 yuan / ton, down 10500 yuan / ton this month from the peak of 39500 yuan / ton at the beginning of the month. In the afternoon, Zhejiang leading monomer factory also actively followed up, reducing DMC from 33000 to 30000 yuan / ton and raw rubber to 31000 yuan / ton.

For the quotation, the monomer factory has shown a clear decline attitude. Under the fierce bidding atmosphere of all parties, the transaction undercutting operations of major monomer factories still occur frequently, and the range of downstream decline is also expanding. Today's Silicone Market is estimated to be another bloody storm.

From the supply side: at present, the trading volume of metal silicon market has been reduced. Yesterday, chemical grade metal silicon 421# Huangpu port reported 23100 ~ 24000 yuan / ton, another 500 ~ 700 yuan / ton lower than last week, weakening the cost support. In terms of devices: the epidemic situation in Zhejiang is alleviated, the parking device will be restarted this week, and the new capacity load will increase steadily. There is a great pressure on shipment in both short-term and long-term. From the perspective of metal silicon price, monomer plants still have some profit margins, but with the continuous profit transfer of transactions, it is noted that the decline is also narrowing.

From the demand side, the current price is still fluctuating downward, resulting in a push and push of downstream goods preparation. However, some DMC transactions have fallen to 28000 yuan / ton, which may not reach the target price of downstream bottom reading, but reach the expected price of goods prepared by some manufacturers. Therefore, replenishment may be carried out gradually this week. In addition, the demand affected by the epidemic in March may recover in April. Based on this situation, the downward space of this round of DMC is being compressed.


On the whole, the epidemic repeatedly disrupted the original rhythm of the market. The peak season in March was not prosperous, and the operation of monomer factories made rare mistakes, which finally fell into fierce confrontation. However, after the DMC falls below 28000 yuan / ton, the downstream also needs to take into account the upstream cost and should not be excessively bearish. It is suggested to make a plan in advance if there is a demand for covering positions. After all, only a few people can get the bottom at the lowest price.