Time To Move On – US Commodity Prices React As Supply Returns, Positive Outlooks Spur Investment

Daily Chemical Reaction

Time To Move On – US Commodity Prices React As Supply Returns, Positive Outlooks Spur Investment

Key Points:

• US polymer grade propylene values collapse from record highs as supply returns. We follow comments yesterday on US polypropylene to discuss the impact of a looser monomer market on US propylene chain derivative profit.
• We flag pertinent chemical sector corporate items (e.g., SQM 4Q20 profit update; Dow MoU for Asia Specialties hub; Multiple global facility updates, commodity price hike announcements, & sector capital deployment outlooks)  
• This report’s other relevant items include ExxonMobil’s comments on CCS technology from its recent investor day event; the rebound in US chemical rail traffic WoW that will likely show further improvement in March from recent storm-induced lows; the strength in China lithium carbonate prices.

See PDF below for all charts, tables and diagrams