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Steady! DMC offers 20800~21500 yuan / ton! Is this rally over again?

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Last week, the silicone market realized the price increase of the whole line of products under the leadership of monomer factories. However, this week, the price was temporarily stable, and some insiders were muttering in their hearts, is it impossible to rise, and will it fall again? From the situation of orders received last week, the pre-sale orders of monomer factories are scheduled to late. Normally, the probability of decline this week is small. However, after a wave of panic stock up in the downstream, it is not expected to continue to chase up, so it is also a general trend to stabilize the price. As of press time, DMC kept a stable quotation of 20800~21000 yuan / ton.


From the supply side: at present, the price of raw chemical grade metallic silicon remains stable, and 421# Huangpu port has a stable quotation of 18300~18900 yuan / ton. Chloroform from some manufacturers in Shandong was reduced by 500 to 4500 yuan / ton. The cost side supports weak stable operation. In terms of unit operating rate: at present, the load reduction operation of units in Zhenjiang, Jiangsu Province, the annual maintenance of two units in Inner Mongolia and Zhejiang, and the reduction of short-term supply are still effective, but the early shutdown devices have been restarted one after another, and after the profit has increased, it is not ruled out that the load reduction device will increase the operating rate. On the whole, the pattern of oversupply will continue to suppress the upward rebound of the market.


From the demand side: last week, downstream enterprises panicked to cover positions, causing a "false recovery" to the market. However, as this accident is only related to individual organosilicon monomer devices, the impact is limited. The downstream returned to calm after covering positions appropriately, and the terminal demand continued to be weak, and the downstream continued to chase up with caution. In the short term, the phased replenishment action will come to an end temporarily, the downstream will temporarily focus on digesting inventory, and the new order trading volume will decline.

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