Daily Chemical Reaction
Known Unknowns Need To Materialize To Spur Chemical Prices – Energy Shock or Hurricane? Take Your Pick!
- US prices increased at the consumer and wholesale level in July. While most indicators reflect price support in August, further strength, notably in petrochemicals, requires a disruptive event.
- We discuss trends favoring tighter energy markets and NOAA views for an above-average US hurricane season – these are the likely disruptive factors that could spur 2H23 chemical prices.
- We follow recent tire industry views to highlight that global butadiene (BD) prices are at the low end of the 2015-2020 range. We also flag US refinery trends and related chemical supply.
- Origin Materials’ equity sank more than 60% yesterday after its 2Q23 business update – we discuss this development, global CCS capacity, Hydrogen tax credits, and other industry items.
- Our regular ESG product will be integrated into our Sunday thematic work this week – as we will focus mostly on sustainability challenges and highlight our role at the important CMA event.
See PDF below for all charts, tables and diagrams