Performance of the chemical sector this week: the overall market composite index fluctuated and fell this week (April 25-april 30). The Shanghai Composite Index closed at 304706, down 1.29% this week, the Shenzhen Component Index fell 0.27%, the small and medium-sized board 100 index rose 1.65%, and the basic chemical sector fell slightly, down 3.77%.
Chemical stocks this week: the chemical sector fell slightly this week, down 3.77%. Among the top gaingaingaingainers are Shanghai Aladdin Biochemical Technology Co.Ltd(688179) \ Shanghai Aladdin Biochemical Technology Co.Ltd(688179) 2022 first quarter report shows that the company's profitability is good, and the company's product level is high, and continuous expansion makes the stock price rise greatly Shandong Cynda Chemical Co.Ltd(603086) the company's main business is the R & D, production and sales of safe, efficient, low toxicity and environment-friendly pesticide technical drugs, preparations and intermediates. The stock rose in large quantities on April 27.
Crude oil market dynamics this week: the prospect of the EU banning Russian oil is gradually clear, and the further tightening of supply helps the oil price. Ice oil distribution closed at US $109.34/barrel (mom + 2.52%); WTI crude oil closed at US $104.69/barrel (mom + 2.57%). Tracking of key chemicals: among the chemicals we are concerned about this week, the highest price increases are glufosinate (+ 8.64%), sulfur (+ 7.48%), wood pulp (+ 5.93%), melamine (+ 5.88%), soda ash (+ 4.59%). This week, the market price of glufosinate continued to rise. In terms of demand, glufosinate was in the peak demand season, foreign orders were continuously issued, China's demand was started, and the orders of China's mainstream manufacturers in the second quarter were full. The spot supply in the market was seriously tight, and the price of glufosinate continued to rise. The demand of sulfur manufacturers will be increased in the first five months of this year, and the supply price of sulfur will be increased in the first five months of this year.
Summary of 2021 annual report and 2022 quarterly report of the basic chemical industry: in 2021, the basic chemical industry increased revenue and profits. The annual operating revenue in 2021 reached 2717786 billion yuan, a year-on-year increase of 36.11%, and the net profit attributable to the parent company reached 258673 billion yuan, a year-on-year increase of 120.65%. The project construction continued to advance, and the industry investment activity was vigorous, among which the profitability of soda ash section was significantly improved. The prosperity of the basic chemical industry is relatively high in 2021 and continued in the first quarter of 2022.
Main line of Chemical Investment: (1) cycle main line: economic recovery drives the improvement of the profitability of procyclical chemicals. (2) The main line of growth: the trend of technological application and innovation - market expansion and subdivision of growth tracks.
Risk warning: crude oil supply fluctuates sharply; The situation of trade war worsened; The risk of large exchange rate fluctuations; The risk of falling downstream demand.
