The Weekly Catalyst
Global Chemical Update – Down On The Farm
- Crop prices reflect downward pressure WoW, putting many constructive farmer spending outlooks into question during a period where higher natural gas prices have further pinched ammonia margins.
- Global polymer prices declined WoW, with Asia prices falling more than US values, increasing our concern that a weak US export market and higher domestic feedstock prices will cut domestic profits.
- US natural gas prices and USGC ethane values increased notably WoW relative to Brent Crude and Ex-US naphtha, flattening the global chemical cost curve in a period of likely rebounding production.