Morning Market Brief: Acrylic Emulsion

I. Key Focus Points

1. Nov 5: The outlook for US-Iran relations remains uncertain, with the possibility of renewed conflict persisting. Supply risks have intensified, driving international crude oil prices higher. NYMEX December crude oil futures closed at $90.52/bbl, up $2.40 (+2.72% WoW); ICE January Brent futures closed at $98.29/bbl, up $3.67 (+3.88% WoW). China INE December crude oil futures fell by CNY 37.8 to CNY 638.4/bbl during the day session, but rose by CNY 1.40 to CNY 639.8/bbl in the night session.
2. Yesterday, the domestic MMA market center of gravity shifted lower. Raw material prices declined, and combined with weak buying sentiment, holders lowered their offers. Negotiation atmosphere was subdued, with transactions primarily driven by rigid demand. The short-term domestic MMA market is expected to remain slightly weak.
3. Yesterday, the domestic butyl acrylate market trended downward amid fluctuations. Propylene prices fell significantly; upstream raw materials n-butanol and acrylic acid also weakened in tandem due to cost-side pressures. Butyl acrylate costs remained high, sustaining pressure on margins. Holders maintained high offer levels, but the sharp drop in international crude oil affected market sentiment, resulting in few inquiries from downstream users. Today, n-butanol is expected to fluctuate with a weak bias, reducing cost support. The butyl acrylate market is likely to continue its weak downward trend. Downstream users are mostly adopting a cautious wait-and-see approach, causing the negotiation center of gravity to decline. Future attention should be paid to market supply changes and raw material price movements.

II. Price List

Unit: CNY/ton

III. Market Outlook

Yesterday, butyl acrylate, MMA, and styrene all exhibited downward trends, alleviating some cost-side pressure. Acrylic emulsion producers adopted a cautious wait-and-see stance, while holders maintained stable pricing in their offers. Downstream procurement was mainly driven by rigid demand, keeping the market transaction center of gravity stable. In the short term, volatility in the crude oil market persists, and raw material markets may continue to consolidate weakly. There is an expectation for slight relief in emulsion production costs. Emulsion manufacturers are likely to focus on selling at stable prices, while end-users will purchase according to actual needs. The acrylic emulsion market is projected to remain stable. Future monitoring should focus on raw materials like butyl acrylate, MMA, and styrene, as well as downstream market dynamics.