We expect a positive impact of higher crude oil prices (10% increase QoQ) on realisations of most chemical players, which should mitigate margin pressure (raw materials tracking crude prices). This, in a way, could provide better spread and, thus, a better operational performance for most players. Prices are also tracking the recent power curbs in China (aggravated in September). This could provide additional impetus for better realisation growth for a majority of the players.
For details, click on the link below: Link to the report