US chem shares fall with oil prices
HOUSTON (ICIS)–US-listed shares of chemical companies fell on Wednesday as oil prices declined.
Prices for petrochemicals tend to rise and fall with those for oil. In addition, chemical producers in the US tend to lose their cost advantage when oil prices fall in relation to gas-based feedstock.
The table below shows oil prices.
The table below shows the US-listed shares covered by ICIS.
|$ Change||% Change|
|Axalta Coating Systems||18.45||-0.85||-4.40|
Among the gainers, shares of Venator Materials rose after the company released its Q1 earnings. Operating income rose year on year.
Shares of Chemours also rose after it reported a rise in Q1 income.
Methanex warned that demand for methanol could drop further in the second quarter.
Axalta said April and May sales volumes are projected down 50% year on year because of the coronavirus.
Chemical shares performed worse than the general market, as shown in the following table.
|Dow Jones Industrial Average||23,664.64||-218.45||-0.91|
|Dow Jones US Chemicals Index||515.91||-7.45||-1.42|
|S&P 500 Chemicals Industry Index||520.71||-7.44||-1.41|
In Europe, chemical stocks fell slightly.
In Asia, chemical shares were mixed.
Additional reporting by Anna Matherne and Stefan Baumgarten, Tom Brown and Nurluqman Suratman
Visit the ICIS coronavirus topic page for analysis of the impact on chemical markets and links to latest news.
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