Daily Chemical Reaction
Bejeweled – Critical Mineral Market Optimism Remains High Despite Price Pullback, Will Supply Be There?
Key Points:
- The C-MACC Clean Energy Minerals Monthly Price Index fell ~6% MoM in April to reflect a 34% lower YTD level, with falling lithium values being a chief driver amid loosening market conditions.
- Phillips 66 reports 1Q23 results, highlighting another strong refinery result quarter reflected in most peer reports – we discuss US refinery margin trends and our generally constructive outlook.
- We discuss critical mineral producer reports painting positive price outlooks while most other commodity markets foresee weakness ahead – production growth remains a wild card for both.
- We highlight Energy Transfer goals for its alternative energy group, which provided an update with its 1Q result presentation, while many peers lack similar commentary with their 1Q results.
- We highlight Axalta auto market expectations and broaden our scope to note the consensus view that input cost inflation will reverse or moderate for chemical buyers/upgraders in 2H23.
See PDF below for all charts, tables and diagrams