The latest Market Talks covering Basic Materials. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.
1652 GMT – Demand for chemical products will remain constrained in 2024, as major economies face inflation and higher interest rates, Fitch Ratings says. The industry will also feel the impact of a slower-than-expected recovery in China, according to Fitch. The neutral sector outlook reflects expectations that “conditions will not materially improve from the bottom-of-the-cycle levels that prevailed in 2023,” the agency says. Recent years have seen a buildup of “significant” new global capacity, which puts more pressure on chemical makers, Fitch says, adding this may “lead to the closure of uncompetitive assets, especially in regions disadvantaged by higher energy or feedstock costs.” (stephen.nakrosis@wsj.com)
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