Domestic styrene prices were up and then adjusted back to the oscillating trend. Last week, the spot high-end deal in Jiangsu at 10,150 yuan / ton, the low-end deal at 9,750 yuan / ton, the high and low end of the spread at 400 yuan / ton. Crude oil prices dominate styrene, and pure benzene remains firm, in the oil price pullback, again compressed styrene profits, the cost side continues to support, and at the end of the week crude oil rebound while following the rise. Downstream demand is general, the fundamentals continue, the epidemic and production profits under the influence of the domestic downstream plant starts poor, supply and demand side is difficult to boost styrene.

Supply side
At present, domestic styrene plant starts at a low level, under the influence of production profits, most non-integrated plants are in parking to reduce the negative, part of the integrated device or maintenance, or a breakdown of parking and load reduction, only to make production has not increased. Therefore, the domestic production of styrene is difficult to suppress prices, which also makes this week’s production fluctuations are not obvious, while the recent reduction of negative Lihua Yi makes the weekly production of styrene slightly reduced. The overall domestic styrene production will increase in the later period as the output of some units resumes.
Demand side
Downstream demand has not changed much in the near future, EPS due to the recent negative reduction of some manufacturers, styrene demand fell, but PS and ABS plant demand increased, so overall, the three major downstream demand reduction is very limited in the near future, and there is some room to improve demand in the late. Only the current epidemic in East China has a greater impact on styrene demand or a certain degree of suppression.
At present, oil prices rebounded to a high level, rising again limited; pure benzene prices continue to firm up, but the forced short market can last longer is more worrying, especially if the oil price pullback, pure benzene or with the decline; therefore, although there is support for the cost side, but the cost of the possibility of a pullback, cost support also with the decline. Supply and demand side to maintain, the supply side, styrene factory output is stable, and a slight increase in the city; while the demand side, Jiangsu area epidemic continues, individual EPS plants affected by parking, PS is due to profit problems some plants have the intention of parking to reduce the load. Therefore, this week, domestic styrene prices are limited, and there may be a decline, the spot price in Jiangsu market is expected to be between 9700-10000 yuan / ton.