Asian PTA markers were assessed down US$9 a ton CFR China and CFR Southeast Asia in the first week of August. In China, offers remained at US$605-610 a ton, and counter offers were between US$590-600 a ton, on the back of flat discussion and transaction.
Purified terephthalic acid prices in Asian markets moderated as market participants expect the bearish outlook to prevail in the mid-term, given the oversupply in China. With paraxylene contract price confirmed, the conversion cost for PTA recovered somewhat.
The positions of major PTA futures contracts were quickly transferred leading to increase in futures values, and the spot prices were up slightly. There was an apparent negative outlook for polyester and PET during the second half, reflecting the slowing textile demand.
In US, PTA July price was down from June while demand for PET is likely to slip in August.
European PTA net contract price rolled over on the week.
Courtesy: Weekly PriceWatch Report
