According to the Commodity Market Analysis System of SunSirs, the asphalt market has risen in a narrow range. From July 6th to 13th, the price of asphalt in Shandong region increased from 3,752 RMB/ton to 3,816 RMB/ton, an increase of 0.35%, a month on month increase of 1.69%, and a year-on-year decrease of 11.91%. Boosted by favorable factors such as the recent rise in crude oil prices, relatively low supply, and tight availability of resources, the domestic asphalt market price has slightly increased.

On the supply side, the main production enterprises have seen a slight reduction in production of Kehua Petrochemical, intermittent shutdown of Dalian Jinyuan, intermittent shutdown of Shandong Jincheng and Hualong, small reduction in production of Maohua Petrochemical, and intermittent shutdown of Beihai Refining and Chemical, which have driven a decrease in production in the area. The comprehensive operating rate of the asphalt industry has decreased compared to the previous month, and the supply side is facing favorable conditions.

On the cost side, US inflation data has fallen, core CPI growth is less than expected, and the market expects the Federal Reserve to slow down interest rate hikes, providing support for oil prices. The settlement price of the main contract for WTI crude oil futures in the United States was $75.75 per barrel, an increase of $0.92 or 1.2%. The settlement price of the main contract for Brent crude oil futures was $80.11 per barrel, an increase of $0.71 or 0.9%. International crude oil futures continued to rise, and the domestic Petroleum industry chain was positively affected.

On the demand side, the demand for asphalt in the market is relatively flat, with varying demand in different regions. The rainfall in the northern region has increased, and some terminal construction has been hindered. The demand performance is average, and actual transactions are mostly low. The weather in the southern region has improved, and the market has just started to improve overall. The demand side of the asphalt market has a relatively stable impact.

As of the close of July 13th, the petroleum asphalt futures market has risen. The main asphalt contract 2310 was opened at 3,750 RMB/ton, with a maximum price of 3,766 RMB/ton and a minimum price of 3,727 RMB/ton. It closed at 3,757 RMB/ton, an increase of 18% or 0.48% compared to the previous trading day. The trading volume was 196,102 lots, the holding volume was 356,308 lots, and the daily increase was 8,161 lots.

In the future, the international crude oil market is experiencing high volatility, which provides strong support for refinery costs. Some refineries have reduced supply of maintenance goods, and the weather is improving. Demand is expected to further increase. SunSirs asphalt analysts predict that the domestic asphalt market will be mainly consolidated in the short term.

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