Huatai Securities: Oil Prices May Rebalance as Supply Constraints Ease

Huatai Securities said escalating geopolitical conflict in the Middle East has intensified disruptions to global oil and gas supply and demand, temporarily lifting oil prices and accelerating inventory drawdowns, according to 36Kr. The brokerage added that demand destruction is gradually emerging under high oil prices, and the oil price center could return toward equilibrium as supply constraints ease at the margin. In chemicals, Huatai said the growth rate of industry capital expenditure has shifted notably since the second half of 2025, alongside policy-driven optimization of existing capacity under measures such as “anti-involution” and “dual carbon controls,” as well as the exit of outdated overseas capacity, making an industry capacity-cycle inflection point increasingly clear. For electronic chemicals, Huatai said demand for semiconductor materials is being driven by AI computing power, advanced process nodes, advanced packaging, and domestic substitution, while overseas supply disruptions could lift the cycle for some electronic specialty gases and key materials.