Recently, under the repeated downward bombardment, the downstream bottom hunting mood was finally aroused. In the past two days, the monomer factories received considerable orders. Yesterday, some monomer factories in Shandong rebounded, up 100, and DMC was reported to be 20100 yuan / ton. Other monomer factories began to close in the afternoon. DMC of leading monomer factory rebounded 500, and quoted 21300 yuan / ton (barrel price). In the short term, the decline of organosilicon has come to an end, the willingness of monomer factories to support prices is increasing, and the market is expected to stabilize and rebound for some time. Although there are still doubts about the rally this time, the monomer factory urgently needs a rebound to boost market confidence due to the long-standing low price. Will this rising market be a "flash in the pan"?


According to the current market feedback, the inventory pressure of the monomer factory has been released. Although the overall downstream demand is not satisfactory, various domestic policies are gradually starting. With the improvement of the overall environment, there are also signs of gradual recovery. Therefore, the monomer factory may seize this opportunity to raise the price of DMC for a period of time.


Raw rubber Market: on Monday, in order to alleviate the high-pressure inventory, the major raw rubber factories offered substantial profits again, constantly exploring and stimulating the downstream purchasing desire. Most raw rubber factories' quotations fell to 21000 yuan / ton, and the mixed rubber was properly prepared first. Due to the rebound signal of individual DMC yesterday, the confidence of bottom copying of mixed rubber increased, and they increased their efforts to actively prepare goods. According to market rumors, the leading monomer factory received about 8000 tons of raw rubber orders in the past two days. Therefore, yesterday afternoon, the raw rubber factories closed their markets one after another. It is expected that the raw rubber factories are expected to rebound in the short term, but the follow-up of new orders remains to be observed.


Rubber mix Market:


Driven by the sealing of raw rubber, the order receiving of rubber mixing enterprises has also improved, and the mainstream quotation is 18500~19500 yuan / ton. However, the quoted price of the rubber compound of the leading monomer factory remains unchanged at 17800 yuan / ton. It is very likely that the strategy of raw rubber rising but rubber compound not rising will continue in the future, which is bound to deepen the operating pressure on the rubber compound manufacturers that have not arrived at the low price. This week, the phenomenon of mixed rubber upside down shipment has been alleviated to some extent. After the mixed rubber fell below 20000, the stock volume of silicon products has been enlarged. However, more of them are still in stock, and the recovery of product orders is not obvious for the time being. It is still not optimistic about how long the future mixed rubber can support. In addition, due to the inconsistent bottom reading time of various enterprises, the cost difference is large. In particular, the leading monomer plant is still suppressed at low prices. It is expected that the rubber mix will maintain stability in the short term, with little room for growth.


To sum up, the monomer plant's rising DMC has provided cost support for the whole silicone industry. The image of price support in the market is strong. Although the industry is still skeptical, the image of price reduction in the short term is low. Judging from the current market situation, there are still constraints on demand, and supply and demand will also continue to play a game. This round of monomer plant inflation has slightly eased the low confusion of the market, but the real recovery of the market is not only on the premise that the supply side has been substantially reduced, but also requires the simultaneous improvement of overseas and domestic demand. According to the unit maintenance plan in June, the supply is expected to shrink, but the starting demand of downstream terminals remains to be tested.