Asian MEG prices surged US$44 a ton CFR China and CFR South East Asia in the second week of November. In China, trading values were up US$20-25 a ton on the week.
Mono ethylene glycol prices jumped in Asian markets on bullish futures amid active trading. Several futures and financial traders were heard buying Yuan-denominated swaps on the futures market to cover short positions for H2 November and taking long positions for H1 December.
In Europe, MEG markets were under pressure from bearish ethylene and ignoring the hike in November contract prices.
In US, MEG sellers eyed arbitrage to Asia since weaker ethylene kept pressure on domestic market although demand was good for spot and contract buying. US spot MEG gained US cent per pound on the week.
Courtesy: Weekly PriceWatch Report
