Chemicals:Opportunities amid overblown concerns
Three fears drive shares lower: Korea’s eight major chemical firms haveunderperformed the Kospi by 4.4% mtd amid concerns over: 1) further declines inethylene/butadiene prices; 2) weak 2Q earnings; and 3) news that China has started ananti-dumping probe into Korea-made SM. It is important to determine which of thesedeserves concern and which do not.