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Crude Impact On Chemical Sector 🧪🧪oil

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The crude oil prices have made new highs and are sustaining above 100$/ barrel levels. Due to global tensions and supply disruption challenges, the natural resource is expected to continue the uptrend. Image
The uptrend in crude oil prices will have a direct impact on the petrochemical derivatives and downstream products of crude oil, thus impacting the margins in the chemical sector.
The aromatic compounds such as benzene, toluene, xylene etc are direct petrochemical derivatives, thus higher dependency of the chemical companies on the petrochemical value chain will result in margin erosion.
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