Tag Archives | oil prices

Excessive Confidence A Risk

Confidence along all the chemicals value chains is always a key issue because of the ability to aggressively manage inventories, according to the London-based chemicals analyst Paul Satchell.

So there’s the ever-present risk of sudden and very disruptive de-stocking. The …

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China’s commodity stockpile gamble

Source of Picture: Australiannews.com

In this article in the South China Morning Post (you can register for free for 14 days if you are not already a subscriber) Michael Pettis makes the argument that China is taking a big risk …

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Chemicals company H2 complacency?

Chemical companies as a whole displayed “dangerously complacent” views about second-half 2009 prospects when they released their Q2 results late last week, argues chemicals analyst Paul Satchell in his blog.

“They believe that demand has bottomed. Although they can’t see …

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Futures, Recycling Behind China PE Mystery?

Picture: The China Daily

“I’ve given up trying to read the polyolefin market in China. I just can’t figure out what’s going on,” said a senior source with a major North American producer late last week.

“I keep returning to …

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China petchem imports soar on false confidence

They always say the best form of flattery is immitation and so thanks to my colleague Paul Hodges for this graph indicating a huge surge in China’s polyethylene imports – courtesy of data from Edwin Pang of Credit Suisse.

I …

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Artificial price support about to disappear

Source of picture: gilesbowkett.blogspot.com

The excellent daily energy and shipping report, The Schork Report said today that the bottom had “fallen out of the entire (energy) complex.”

With the Bulls on the defensive, the authors believe that crude could retreat …

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An Affair To Remember

Source:Amazon.com

I remain perplexed by the direction of chemicals, oil and commodity markets over the last few months – and now I understand the reason why.

It’s not about feedstock, it’s not about inventory levels or what end-use demand is …

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Be very careful what you wish for…

Source of picture: The Nymex

To continue the same theme of earlier this week, I agree with my fellow blogger Paul Hodges when he warns that OPEC’s price target for $75-80/bbl could nip the nascent economic recovery in the bud. …

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The danger of bogus science

Believing what you want to believe (or pretending to believe in something because it’s in your commercial interests) has always been a problem.

But the stakes have never been higher than in the case of climate change. To yet again …

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Slaves to market frenzy

A consultant once told me a wonderful story – so wonderful I don’t even care whether it’s true or not – about how the monthly European benzene price in the 1950s was calculated based on the US price once the …

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