According to the Commodity Market Analysis System of Shengyi Society, the domestic formic acid market has continued to consolidate horizontally in recent times, with stable market operation and stable prices. As of April 7th, the benchmark price of 65% industrial grade formic acid in Shengyi Society was 3000 yuan/ton, up 22.45% month on month and down 11.76% year-on-year, with no significant fluctuations and a stable market focus.
Supply side: Enterprise production plan adjustment to support price stability
From March 31st to April 1st, some production facilities on the supply side were still under maintenance, and the low inventory situation did not change, continuing to provide support for the market. On April 2nd, although most formic acid manufacturers have resumed production, they have not yet entered a state of full load operation. The pattern of low inventory continues, and the supporting role continues to exist, which together constitute an important supporting factor for price stability.
Demand side: Stable performance, driven by essential needs
Downstream enterprises have weak purchasing intentions and low enthusiasm, mainly focusing on acquiring and replenishing goods for essential needs. There has been no large-scale centralized procurement behavior, and the game forces between supply and demand are tending towards equilibrium.
Future forecast
Based on the prediction of the Business Society’s spot trading system, the current price is at a high level both in the short and long term,
The current price moving average shows a complete bullish trend (price>10 day line>20 day line>30 day line), with an upward trend in the medium term.
Overall, the price of formic acid has limited room for increase, with sufficient support below. It is expected to continue to operate in a sideways trend, and specific changes in market supply and demand need to be monitored.
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