Daily Chemical Reaction
On the Road Again – Potholes, Speed Bumps and Hitchhiker Abuse Varies by Market; US Benefits from Asia C2 Chain Price Strength; Other Items
Key Points:
- We discuss global polymer chains with significant exposure to the auto sector following the PolyOne and Axalta business updates yesterday.
- We flag multiple reports highlighting strength in Asia C2 markets – we use this opportunity to further our discussion of China MTO margin strength (a plus for US methanol exporters) and US polyethylene contract price support.
- Other items of note range from the drop in natural gas relative to crude (see our chart of the day), to a modest recovery in synthetic rubber prices in China, to shippers eyeing a floating storage drawdown in 2H20.
See PDF below for all charts