For the Quarter Ending September 2023



North America

During the third quarter, Dinitrochlorobenzene prices in North America experienced a decline. The economic activity in the United States also witnessed a downturn in the same period, attributed to decreased demand both domestically and internationally. In August, inflation in the United States reached 3.7%, marking the first occurrence since June 2022. The surge in energy prices towards the end of summer contributed to this increase, further impacting consumer confidence. As inflation surpassed the Federal Reserve's 2% target, officials contemplated a potential interest rate hike later in the year. In July, the Federal Reserve had already increased its key policy interest rate by 0.25%, the eleventh such adjustment in 17 months, aiming to address persistent inflationary pressures affecting the US economy. Rising fuel prices and elevated interest rates added to economic uncertainty, resulting in weaker consumer confidence in September. Manufacturers reported a decline in new orders, contributing to an overall negative trend. To maintain profitability, businesses continued to liquidate their backlog and stock.

Asia Pacific

Dinitrochlorobenzene prices in the Asia Pacific region exhibited a varied pattern in the third quarter. While prices remained constant in July and August, they experienced a decline in September. In July, India's manufacturing Purchasing Managers' Index (PMI) fell slightly to 57.7 from 57.8 in June, indicating sustained growth momentum in the manufacturing sector. Consumption activity increased marginally in July due to rising new orders from foreign countries. Despite sufficient supply meeting market demand, the market remained stable. August saw a robust manufacturing sector in India, with factory expansion at its highest rate in three months, resulting in increased production activity and output. This led to an ample supply of Dinitrochlorobenzene in the Indian market. Demand remained moderate, with slight increases in new orders, sales, and consumer purchasing activity. However, in September, the manufacturing sector in India experienced a slight slowdown, primarily due to a deceleration in new orders, resulting in a drop in production expansion and prices. The PMI fell from 58.6 in August to 57.5 in September, indicating a notable slowdown in industrial activity.

Get Real Time Prices of Dinitrochlorobenzene (DNCB): https://www.chemanalyst.com/Pricing-data/dinitrochlorobenzene-1553

Europe

In the third quarter, Dinitrochlorobenzene prices in Spain followed a downward trend. Factory activity in Spain declined for the fifth consecutive month in July, reflecting reduced local and overseas demand for Spanish goods. The Spanish manufacturing Purchasing Managers' Index (PMI) dropped to 47.8 in July, down from 48 in June and 48.4 in May. Consumer confidence remained low in August due to repeated rate hikes, high inflation, the energy crisis, and geopolitical dynamics. Persistent inflation, driven by elevated energy and oil prices, weakened consumer buying power, contributing to the price decline. Dinitrochlorobenzene prices continued to fall in September as end-user demand remained weak, despite ample market supplies. Overall business activity slowed due to reduced new orders and purchases. In September, the European Central Bank decided to raise interest rates for the tenth consecutive time to counter stubborn inflation, further dampening market demand and sustaining the downward trajectory.