SunSirs: Crude Oil Fell, China Methanol Futures & Spot Market Fluctuated

On July 7, methanol futures of Zhengzhou Commodity Exchange fluctuated at a low level, with the main contract MA2109 closing at 2,562 RMB/ ton, down 72 RMB/ ton or 2.73% compared with the closing of the previous trading day. According to the monitoring of business news agency, as of July 7, the average price of domestic methanol production enterprises in Shandong was 2,540 RMB/ ton, with a month on month decrease of 1.45% and a year-on-year increase of 54.64%.

Crude oil fell, plastics and other commodities increased linkage, methanol futures shock downward. On the spot side, the situation of upstream enterprises' shipment is different, Lubei refinery and other downstream enterprises are cautious about receiving the goods, and the traders' mentality is different. The spot price of methanol in various regions has been stabilized and reduced in a narrow range.

On the downstream side, the formaldehyde market was stable and fell, and the negotiation atmosphere was weak. The market price of dimethyl ether was stable on a large scale, with a small drop in some parts and obvious regional trend. The weakness of domestic acetic acid market continues, and some manufacturers still offer lower prices. The overall passive weakness of the market continues, and the downstream terminals mainly digest contracts in the near future. The overall situation of MTBE market is stable, with some low-end products falling slightly.

As for external market, as of July 6, CFR Southeast Asia methanol market closed at $372.00-373.00/ ton, up $8.5/ ton. US Gulf methanol market closed at 112.00-113.00 cents/ gallon; The closing price of FOB Rotterdam methanol market was 327.00-328.00 euro/ ton.

Futures market volatility finishing, spot traders hold wait-and-see situation. SunSirs methanol analysts expect the short-term methanol market or weak decline in China.

If you have any questions, please feel free to contact SunSirs with support@sunsirs.com.