Shouchuang Futures: Ports continue to de-stock, pure benzene futures remain high

In terms of supply, the geopolitical situation remains tense, with domestic and foreign refineries declaring force majeure due to raw material issues, increasing the number of affected enterprises, and the reduction in pure benzene supply continues to rise. Last week, domestic pure benzene operating rates fell by 1.9 percentage points, while hydrogenated benzene operating rates slightly decreased, and Asian pure benzene operating rates dropped by 0.8 percentage points. The pure benzene inventory at East China ports decreased by 14,000 tons.
In terms of demand, downstream styrene and maleic acid production has decreased, while phenol production has seen an increase. The prices of downstream pure benzene products have actively followed suit and risen, with no facilities reported to have reduced or halted production. There is strong buying interest for low-priced pure benzene, and market prices are correcting upward from low levels.
In summary, crude oil prices are fluctuating at high levels, and the chemical sector shows a diverging trend. Refinery production cuts are increasing, pure benzene supply continues to tighten, and ports continue to deplete inventories. It is expected that pure benzene futures prices will remain high in the short term, with attention on crude oil prices and changes in facility operating rates. (CICC Futures)