Daily Chemical Reactions

Meet In The Middle – US Commodity Chemical Spot Market Premiums Face Pending Global Reset
November 18, 2020
Commodities Mentioned:
Plastics (PVC, PP, PE, PET, etc.), Ethylene, Acrylonitrile, Lithium, Benzene, Ethyl Acetate, Methanol, Crude/Naphtha, Natural Gas/NGLs
Companies Mentioned:
Albemarle, Altium Packaging, Ascend Performance Materials, Braskem Idesa, Croda, Eastman, Iberchem, Ingevity, Mitsubishi Chemical, Nippon Kayaku, Maersk, GW Plastics, Petronas, Phillips 66, Röhm, Sakai Chemical, PureCycle, Unilever, Veolia, Methanex, Southern Chemical Company, Mitsui Chemicals, Celanese, LyondellBasell, Panasonic, Target, Halfords

Daily Chemical Reaction

 

Meet In The Middle – US Commodity Chemical Spot Market Premiums Face Pending Global Reset

 

Key Points:

  • US commodity chemical markets reflected a more pronounced bounce from 2Q lows relative to many overseas markets, in part because of a historic USGC Hurricane season and related outages. We discuss the forward setting.
  • We note multiple relevant corporate items (e.g. Ingevity, Maersk, Nippon Kayaku, Panasonic & Target business updates; Mitsubishi Chemical, Croda, & Petronas strategic moves; Röhm, Ascend & Celanese product news, etc.)
  • Other items mentioned range from the start-up of new NGL fractionation units at Phillips 66, to recent weakness in US natural gas relative to USGC ethane (Ex. #3), to several retailer reports framing consumer demand.

See PDF below for all charts 

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