Monday's Silicone Market Shows Obvious Differentiation, with Multiple Factors Intertwined Affecting Market Trends
Hits: 513
img
On Monday, the silicone market showed an obvious differentiated trend. In terms of quotation, a leading enterprise in Shandong, which is of indicative significance, kept the DMC quotation stable at 12,300 yuan/ton, while most other monomer factories chose to close their offers and suspend quotations.
The spot price continued its upward trend, and the mainstream transaction price of DMC has climbed to 12,700 yuan/ton. The spot quotations of other related products also have their respective ranges. The spot price of 107 rubber is 13,300-13,500 yuan/ton, the spot price of raw rubber is 13,500-13,700 yuan/ton, and the spot price of silicone oil is 14,500-14,700 yuan/ton.
The mentality of downstream customers is also divided, and most of them purchase based on rigid demand. The move of some manufacturers to close their offers on Monday has not significantly boosted the market sentiment for the time being.
From the supply side, the production scheduling plan for raw rubber and other silicone products of Hesheng, a leading enterprise, has been arranged until the end of August, which highlights the tight supply situation in the current market.
There are also new developments in terms of policies. According to market news, the regulatory authorities plan to classify "silicone production devices that have been in operation for more than 20 years or have reached the designed service life" as "old devices", which may face capacity adjustment. This policy expectation has intensified the market's concern about supply contraction, further boosting the bullish sentiment in the market.
In addition, since late July, northern China has been hit by continuous heavy rainfall, with record-breaking rainstorms in Hebei, Inner Mongolia and other places. Data shows that this round of precipitation has caused 19 national weather stations in the north to break the monthly extreme value for the same period, among which 13 stations have set new historical extreme value records. Affected by this, the three major monomer factories in Hebei and Inner Mongolia have suspended new quotations due to saturated orders.