Asian MEG prices surged US$84 a ton CFR China and CFR South East Asia in the second week of December. Mono ethylene glycol prices moved up rapidly opening the week only to softened somewhat later in the week.
In China, OPEC’s agreement on oil product cut influenced MEG futures on Monday and spot values were pulled up. Later, the price rise dwindled, and sentiment weakened by mid-week. With US FED raising interest rate, MEG values moved up gradually.
In Qianqing, PC (65/35) 32s yarn prices were up US cents 3 a kg in the second week of December while 45s PC combed yarn prices were stable on the week. Blended yarn prices were supported by rising PSF and VSF prices that week although cotton movement was sluggish. In China, PV and PC yarn prices have begun inching up on sharper increase of PSF prices over the week.
In Shengze, offers for 32s and 45s polyester yarn were up in the first week of December. In Qiangqing, 32s weaving yarn was offered flat during the week. In US$ term, they were up US cents 2-6 a kg on the week, due to strong Yuan.
Spun polyester yarn offers picked up further in China driven by PSF values, and the transaction was moderate. Since there was less than one month before China’s Lunar New Year, yarn producers started arranging shutdowns for the holiday. Meanwhile, PSF prices jumped to higher levels, gaining 3% in the week.
Asian PTA prices were up US$8-9 a ton CFR China and CFR Southeast Asia marker in the first week of December. In China, offers for nearby-month goods were kept steady during the week.
Yisheng Petrochemical raised its selling price by US$5 a ton while Hengli Petrochemical also hiked US$5 a ton during the week.
Purified terephthalic acid prices rose in Asian markets on bullish futures and rising feedstock paraxylene cost. In China, domestic PTA market moved up followed by correction that week.
Asian MEG prices surged US$84 a ton CFR China and CFR South East Asia in the first week of December. Mono ethylene glycol prices surged dramatically in Asian markets on bullish futures and year-end rally also influencing prices in other regions.
Traders traded up swap and physical positions daily, buying up H2 December and H1 January swaps, as well as prompt physical cargoes for both H2 December and H1 January loading. Lifted by the bullish paper swaps, prompt physical MEG prices surged.
In Qianqing, PC (65/35) 32s yarn prices were up US cents 3 a kg in the first week of December while 45s PC combed yarn prices were stable on the week.
Blended yarn markets in Asia were mixed as some spec prices inched up while others rolled over in China, India and Pakistan. In China, blended yarn producers were not been able to raise prices in line with the higher material costs, implying decline in their margins.
PSF prices have jumped to higher levels while VSF in contrast, prices are now returning to lower levels after a short-lived attempt to raise prices.
In Shengze, offers for 32s and 45s polyester yarn were up in the last week of November. In Qiangqing, offers for 32s weaving yarn were flat on the week. In US$ term, they were up US cents 2-3 a kg on the week, due to strong Yuan.
Polyester yarns offers in Shengze market picked up amid moderate enquiries and selling sentiment and did not see notable improvement. There was huge uncertainty about the sentiment in the future, thus players held heavy wait-and-see stance. They did not have too much interest to stock up huge raw materials too.
Asian PTA prices inched up US$4 a ton CFR China and CFR Southeast Asia in the last week of November. Purified terephthalic acid prices inched up in China on the week while they were stable in other Asian markets.
In India, domestic polymer and polyester demand was been hit since the government's demonetization policy sparked a drop in retail goods sales, impacting converters and the traders who supply them.
Asian MEG prices gained US$27 a ton CFR China and CFR South East Asia in the last week of November. In China, negotiations edged down during the week.
Mono ethylene glycol prices surged in Asian markets on bullish crude futures and short covering. In China, MEG market walked in weakness opening the week but midweek’s surge in crude oil values saw favorable influence on MEG futures and spot climbed up continuously.
In Qianqing, PC (65/35) 32s yarn prices rolled over in the last week of November while 45s PC combed yarn prices were stable on the week, however, both were up US cent 1 due to strong Yuan.
Blended yarn pries in China were relatively unchanged although fibre prices rose resulting in drop in margins at spinning mills. Imported yarn prices have also risen in Yuan terms, after the renminbi declined in previous weeks.
