SunSirs: Enterprises Maintenance Increased, LPG Price continued to Rise

2021-09-13by admin

  Since July, the overall trend of Shandong’s civil gas market shows a volatile rise. Since July 8, there have been many positive factors in the market, and the price has been rising one after another. According to the data monitoring of SunSirs, the average price of liquefied gas in Shandong civil market was 4,346.67 RMB/ ton on July 8 and 4,466.67 RMB/ ton on July 22, with an increase of 2.76% and 3.24% compared with July 1.

  Recently, the trend of domestic LPG market is relatively strong. Shandong civil gas market began to enter the upward channel on July 8, during which there are many favorable factors. One is the international crude oil market. Although the international crude oil fluctuates frequently recently, it is still at a high level as a whole. In addition, the strong external price has brought some support to the LPG market. Secondly, many plants in Shandong Province were overhauled, and the supply of Shandong market declined. For the overhaul of some units of Jincheng Petrochemical Company, no external quotation was made. The decrease of supply has brought obvious support to the market. Coupled with the expected rise of CP in August, a positive market attitude is the third. At present, the mainstream transaction price of Shandong is around 4,550-4,650 RMB/ ton, the overall transaction atmosphere of the market is mild, the downstream buyers are active in entering the market, the manufacturers are smooth in shipping, the mentality is firm, and the price has been pushed up. However, due to the flat shipment situation in South China market, the current price has fallen.

  LPG futures market rose significantly, which brought certain benefits to the spot market. On July 22, the opening price of 2109 LPG futures contract was 4,827, the highest price was 4,978, the lowest price was 4,827, the closing price was 4,963, the former settlement price was 4,825, the settlement price was 4,909, up 138, or 2.86%, the trading volume was 84,467, the position was 70,785, and the daily increase was 4,923(Quotation unit: RMB/ ton)

  In the international crude oil market, on July 21, the international oil price rose sharply. The settlement price of the main contract in the WTI crude oil futures market of the United States was $70.32/ barrel, up $3.12, or 4.64%. The settlement price of the main contract in the Brent crude oil futures market was $72.23/ barrel, up $2.88, or 4.20%. Although US commercial crude oil inventories increased for the first time in eight weeks, market risk index preference improved and oil prices rebounded sharply.

  At present, although the market is in the traditional off-season and the terminal demand is weak, the low supply in Shandong has brought obvious support to the market, the downstream buying mentality is more positive, the manufacturer’s mentality is strong, and the international crude oil is at a high level, with obvious market favorable support. It is expected that the market price of Shandong civil gas will be strong in China in the short term.