Price trend
According to the price monitoring of SunSirs, the sulfur price in East China rose first and then fell in October, and the market was weak and fell. As of October 31, the average ex factory price of sulfur market in East China was 1,310.00 RMB/ton, a decline of 11.88% compared with the average ex factory price of 1,486.67 RMB/ton at the beginning of the month.
Analysis review
In October, the sulfur market in East China continued to decline after the rise. After the National Day holiday, the downstream sulfuric acid market rose. The demand for sulfur downstream replenishment in Shandong increased, and the procurement was active. The refinery's shipment was smooth. The enterprise's quotation was raised according to its own shipment situation. With the end of fertilizer use in autumn, the market transaction and investment wee weak, the overall downstream demand became weak, and the support for the sulfur market was insufficient. In addition, the port arrival volume increased, and some downstream factories tended to purchase in the port market. The domestic refinery shipments were not good, so the enterprise lowered the price to alleviate the inventory pressure. At the end of the month, due to the impact of public health, transportation was limited, the manufacturer's quotation was forced to be lowered, and the market in East China was weak.
The downstream sulfuric acid market rose broadly in October. The market price of sulfuric acid was 296 RMB/ton at the beginning of the month, and 414 RMB/ton at the end of the month. The overall increase in the month was 39.86%. The domestic sulfuric acid continued to rise in the month. Although the downstream demand was weak, it’s just followed up on demand. The supply side had a good support. The operating rate of acetic acid in the market wa low, the enterprise had no pressure on inventory, and the market mentality was bullish. In the later period, affected by the price adjustment in the surrounding areas, the sulfuric acid quotation remained high and the market price was consolidated.
In October, the ammonium biphosphate market was consolidated and operated after it fell. After the National Day holiday, the raw sulfur rose, the cost exerted pressure, and the ammonium biphosphate price fell as a whole. The downstream autumn fertilizer use ended, the winter storage market made slow progress, and the on-site trading was limited. In the second half of October, the ammonium biphosphate market was sorted out and the price fluctuated slightly. As of October 31, the ex factory quotation of 55 powdered ammonium biphosphate in Hubei was 2,900-3,050 RMB/ton, that in Anhui was about 3,150 RMB/ton, and that in Sichuan was about 3,100 RMB/ton, mainly based on actual negotiation.
Market outlook
According to sulfur analysts of SunSirs, the sulfur market is mainly on the sidelines at present. Affected by the increase in port arrivals, the downstream demand of refineries in East China has weakened. At the same time, due to the impact of public health events, transportation is limited, enterprises have difficulty in shipping, and the market trading atmosphere is not good. It is expected that the sulfur market will consolidate in the short term, with specific attention paid to the downstream follow-up.
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