Carbon black prices weakened and declined this week (5.1-6)

According to data monitored by Business Society, the domestic carbon black market has been declining recently. On May 6th, the domestic carbon black N220 was quoted at 9166 yuan/ton, but the raw material price continued to decline, and the cost support performance of carbon black became increasingly weak.

Cost: recently, the market price of raw material coal tar has been fluctuating and falling, and the market price of coal tar has been falling, which has depressed the market price of coal tar. The international crude oil price continues to fluctuate, and the raw material market is unstable. This week, the price is weak, and there is no significant positive trend on the cost side. In the short term, it is still difficult for the market to find favorable support, and there is a pessimistic atmosphere on the market.

Supply and demand side: Currently, carbon black manufacturers have produced carbon black from high priced raw materials in the early stage, and there is a buildup of inventory on site. Some carbon black enterprises have arranged for a slight reduction in their inventory, resulting in a slight decline in the carbon black market operation. Downstream market procurement is cautious, with most of them focusing on hard demand, and carbon black enterprises are under high shipping pressure.

In terms of downstream tire companies and other rubber product industries, the overall operating rate remains stable. However, due to the weak downward trend of carbon black prices, the enthusiasm of enterprises to purchase goods is generally cooled by trading, bearish in the future market, and a strong wait-and-see atmosphere, resulting in weak transactions in the carbon black market.

Overall, raw material prices are weak, market bearish elements are abundant, carbon black cost price support is weakened, terminal bearish mentality is intensified, and both supply and demand sides are dominated by bearish sentiment. There is currently no positive phenomenon on the market, and it is expected that carbon black will be weak in the short term.