- Spot earnings for FY21 at R18.32/share were slightly lower due mainly to a stronger rand as well as a slightly lower oil price. Refining margins were higher and breached $5/bbl. Both petrol and diesel cracks are trading around $5/bbl.
- Asian chemical prices were lower with ethylene retreating by almost 8%, LDPE and polypropylene prices were also slightly lower. US ethylene prices remained above $900/t and polyethylene prices were also higher. US markets remain active and further price increases are expected as inventories have been depleted by strong demand and supply disruptions (link).
Global chemical news
- The shortage of empty containers is driving petrochemical prices higher in Asia, Europe and Africa. The tight container market is said to last until the second quarter of 2021 (link).
- Demand in 2021 for plastic resins including PVC and polyethylene may see support from low inventories in the first months and from a broader economy reopening later in the year as immunization efforts increase, paving the way for an rise in durables consumption (link).