Analysis of sulfur market trends in February 2016

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Analysis of the sulfur market trend in February 2016 I. Price data: According to data from BulkBazaar, the average ex-plant price of granular sulfur in the domestic market was around 936 yuan per ton at the beginning of February; by the end of the month, this price dropped to 839 yuan per ton. The overall decline was 10.27%, with a year-on-year decrease of 36.39%. 　　II. Market Analysis Product: The domestic sulfur market saw a downward trend amid fluctuations in February, displaying an overall weak and stable pattern. There was no significant increase in demand, keeping the market sluggish; refineries lacked positive factors to drive demand, while ports remained cautious with regard to sulfur prices. Regarding sulfur in ports, the price of sulfur at Qingdao Port has shown a downward trend with a significant decline; the price of both lump and powder forms dropped from 820 yuan per ton to 750 yuan per ton ； Conditions at the Yangtze River ports have remained relatively stable; the pessimistic atmosphere has improved, orders from downstream areas are at a moderate level, and market activity is on an upward trend ； 　　Industry chain: 1. The overall situation in the downstream sulfuric acid market is **; prices in some areas are fluctuating within a narrow range. After the Spring Festival and Lantern Festival holidays, most companies have resumed normal production following their maintenance periods, while a few manufacturers have not yet determined the timing for resuming operations. Some of these manufacturers have raised the price of sulfuric acid. It is expected that the sulfuric acid market will remain weak in the short term ； 2. The phosphatic ammonium market remains stable at low levels; production activities gradually return to normal after the holidays. Purchases in the market are driven by demand, and there are few new orders being placed. 　　Industry: Currently, the domestic sulfur market remains in a state of low-level consolidation; genuine demand is limited. Coupled with buyers’ tendency to seek low prices and high costs for suppliers, this results in a sluggish trading atmosphere. 　　III. Market Outlook 　　The sulfur market is currently experiencing downward fluctuations. Sulfur analysts believe that the market is likely to remain weak and show limited volatility in March 2016.