Prices continue to decline.

1. Today's Summary

① Sinopec East China posted a pure benzene price of 10,300 yuan/ton, a reduction of 300 yuan.
② Non-contract spot transactions for pure benzene in Shandong totaled approximately 2,600 tons today. Self-pickup prices ranged from 10,053 to 10,103 yuan/ton, with an average of 10,078 yuan/ton, down 68 yuan/ton from the previous trading day.
③ Spot negotiations for pure benzene in East China ranged from 10,060 to 10,410 yuan/ton, with an average of 10,235 yuan/ton, a decrease of 265 yuan from the previous trading day.
④ As of October 26, total commercial inventory of pure benzene at Jiangsu ports stood at 27,000 tons, a drawdown of 17,000 tons from the previous level of 44,000 tons.

2. Spot Market Overview

Table 1: Summary of Domestic Hydrogenated Benzene Prices (Unit: Yuan/Ton)

Based on the Shandong region as a benchmark, prices in Lubei and Southwest Shandong declined today. In major production areas, prices fell slightly to around 10,050 yuan/ton, while local refineries dropped to 10,050–10,100 yuan/ton. Significant declines were observed in warehouse zones before noon. Afternoon saw Sinopec major refineries lower their posted prices by 300 yuan/ton. Consequently, local refineries and hydrogenated benzene producers in major production areas aligned with lower-end pricing, with transactions predominantly occurring at these lower levels. Reference delivered prices for hydrogenated benzene in Jiangsu were estimated at 10,100–10,150 yuan/ton.

3. Production Dynamics

On October 28, the operating rate for hydrogenated benzene decreased by 1.06 percentage points to 59.84%. Weekly output of hydrogenated benzene was 79,400 tons, a week-on-week decrease of 1,400 tons. The spread between crude benzene and hydrogenated benzene widened this week, leading to increased profits for hydrogenated benzene enterprises in Shandong, which closed at 570 yuan/ton.

4. Price Forecast

Today, the downward trend in the domestic hydrogenated benzene market continued, with prices falling to approximately 10,000 yuan/ton. Crude oil prices experienced a slight decline from high levels, and the widening drop in pure benzene futures pressured domestic pure benzene spot prices lower. Following the afternoon adjustment of Sinopec’s posted prices, hydrogenated benzene prices also moved lower. Currently, amid bullish and bearish forces, hydrogenated benzene prices are fluctuating and retreating from recent highs.

5. Related Product Updates

Pure Benzene Market: Futures prices dropped rapidly today. East China markets and major refineries followed suit with lower quotes. Local refineries maintained a strategy of opening low to facilitate sales, resulting in decent transaction volumes.

6. Data Calendar

Table 2: Domestic Hydrogenated Benzene Data Overview (Unit: Yuan/Ton, 10,000 Tons)