Toluene and MX supported by low stock and PX plants

China’s toluene and mixed xylenes markets found a floor in the beginning of 2019, and then had been maintaining range bound. However, the markets have been gradually moving up since Jun, and Sinopec has been revising up list prices to 5,650yuan/mt for toluene and 5,950yuan/mt for MX in East China as of Aug 26.

The curve of toluene and MX prices saw an inflection point in the beginning of Jun. The markets have been moving upward since then, and hiked significantly in recent weeks. Then, what’s the reason behind it?