On Wednesday, the silicone market once again became the focus of industry attention. Recently, the DMC (dimethyl cyclic siloxane) market has been booming, and the atmosphere of speculation is becoming increasingly strong. Although the price of organic silicon remained stable yesterday, midstream and downstream enterprises still closely monitor the dynamics of DMC prices, hoping that the new trend can become clear as soon as possible. Under the influence of last week's DMC price surge, midstream and downstream enterprises have increased their procurement volume based on the mentality of "buying up instead of buying down". Although prices have remained unchanged recently, the order schedule of individual factories is quite optimistic, with less inventory pressure, and the production reduction plan is being implemented in an orderly manner, laying the foundation for subsequent price increases. It is expected that DMC will continue to operate at a high price this week, with a high possibility of rising, bringing new vitality to the silicone market.

In terms of the raw rubber market, the DMC quotation remained unchanged this week, and the raw rubber factories mainly adopted a price stabilization strategy, with the mainstream quotation maintained at 14500-14800 yuan/ton. On the supply side, some rubber production units have followed the overall production reduction pace of individual factories and have reduced their burden. With sufficient orders from leading factories and support from pre-sale orders, the pressure on the rubber supply side is not significant in the near future. In terms of demand, downstream enterprises have gradually delivered their initial orders, and the current order volume has increased. Driven by the upward trend, some rubber mixing enterprises have increased their stocking actions. Overall, the market has been suppressed by low prices for a long time, and both upstream and downstream have a strong willingness to improve. The buying sentiment has formed a positive feedback, and it is expected that the price of raw rubber will adjust around leading factories in the short term.