Daily Chemical Reaction
Pour Some Sugar On Me – US Commodity Chemical Equities Fail To Keep Up Despite 1H21 Profit Surge
Key Points:
- US commodity chemical equities have underperformed peer subsectors and the broader market since the start of 2019. This report discusses the relative negative investor sentiment targeting the commodity sector.
- US spot butadiene values sit above the mid-point of the five-year range, and we flag several global market indicators worthy of notice in late 2Q21.
- We flag pertinent chemical sector corporate items (e.g., Total, PPG, Saudi Aramco, & Kemira news; Several Capex & price nomination updates)
- Carbon market discussions advance and we flag more ESG sector items.
- We flag multiple macro-economic factors worthy of note, ranging from the continued strength in the US used car values to global shipping challenges.
See PDF below for all charts, tables and diagrams