Crude oil, fiber and Raw Material Market Trend W11

Data this week – W11

#WTIPTAMEGPET SDBOTTLEPSF1.4DVSF1.2D
2021-3-1166.024395.005595.000.911.031.062.21
2021-3-463.834535.006135.000.920.991.082.21
Change2.19-140.00-540.00-0.010.03-0.030.00
Ratio3.43%-3.09%-8.80%-1.05%3.45%-2.53%0.06%
 POY150DFDY68DDTY150DP30RINGV30RINGV30OEV30MVS
2021-3-111.131.271.361.872.732.572.72
2021-3-41.121.241.341.932.732.572.72
Change0.010.030.02-0.060.000.000.00
Ratio1.23%2.32%1.74%-2.92%0.00%0.00%0.00%
USD/CNY=6.45

Market this week – W11

Summary: Oil first fell and then rose, PTA rebounded after falling, MEG fell from high, Polyester chip rose and fell, Polyester filament yarn rose and stabilized, PSF fell and stabilized, VSF stabilized.

1,Oil prices first fell and then rose this week. The two major crude oil futures fell on Monday. As concerns about supply interruptions after the attack on Saudi Arabia’s oil facilities faded, and the large-scale fiscal stimulus measures to be passed by the United States will continue to boost inflation expectations, a strong US dollar will suppress commodity prices in the short term, and the two major crude oil futures continued their decline on Tuesday. On Wednesday, the U.S. House of Representatives voted to pass the $1.9 trillion  bailout bill, which is expected to increase economic recovery in the post-epidemic era. The two major crude oil futures rebounded from the decline. On Thursday, U.S. President Biden signed a $1.9 trillion bailout bill one day ahead of schedule. The two major crude oil futures continued their gains in the previous trading day.

2,PTA spot prices rebounded after falling. On the one hand, Crude oil surpassed and fell, and PTA futures followed the decline, driving the spot price to fall. On the other hand, PTA devices have been overhauled one after another, and mainstream suppliers have repurchased from the market. Spot liquidity continues to be tight, and spot futures basis is strong. As the price of PTA goes down, and the PTA processing gap is greatly reduced, the market has a bottom-of-the-bottom mentality, and the market transaction atmosphere is acceptable. In the short term, crude oil fluctuates strongly, PX supply and demand pressure is not great for the time being, and there is still support on the cost side. As the overhaul of PTA devices continues to materialize, supply and demand improved in March, and PTA is expected to fluctuate at a high level under cost support.

3,MEG prices fell from high levels, and the spot basis continued to weaken. Affected by the sharply stronger crude oil market at the beginning of the week, MEG Futures opened sharply higher, and spot transactions were high. However, on-site traders have strong intention to sell to lock the profit, and increased market selling suppresses the upward and the Futures turned to downward trend and spot price went down simultaneously. In the middle of the week, as the commodity market pulled back, the MEG market fell rapidly, and the spot price weakened sharply. In the second half of the week, the MEG spot price was significantly lower than the monthly average price, and some polyester factories participated. Recently, the start of polyester production has increased significantly, and the short-term market rigid demand support is still relatively strong. It is expected that the short-term MEG will be mainly weakened.

4,Polyester chips rose and fell. At the beginning of the week, driven by the surge in crude oil, polyester raw materials rose again, and the quoted price rose sharply. In the second half of the week, with the decline of crude oil, the cost of polyester declined rapidly, and chip prices gradually fell. The overall transaction volume was light. At present, the inventory of polyester factories is low, but the downstream stocks are also large, and the willingness to buy is not strong. The short-term market mentality is wait-and-see. It is expected that polyester chips will fluctuate mainly in the range.

5,Polyester filament yarns in Jiangsu and Zhejiang rose first and then stabilized, while some factories slightly decreased. Stimulated by the positive news of crude oil last weekend, the downstream mills again made up raw materials, and production and sales volume increased rapidly. From last weekend to this Monday, polyester filament factories raised prices. However, starting from Tuesday, with the rapid correction of raw materials PTA and MEG, the production and sales of polyester filaments continued to be weak, and polyester filament factories remained stable in sales. Sporadic POY factories in Ningbo area have lowered their prices due to high inventory pressure. The price of polyester filaments in South China remained stable after rising. Export quotations continued to rise overall. At the beginning of the week, driven by the rise in crude oil, foreign orders were placed intensively, among which POY was relatively better than DTY; but in the following days, polyester raw materials fell sharply, the market mentality was wait-and-see. Recently, foreign market demand is good, but due to the high price, orders are very cautious, and the purchasing rhythm is mostly adjusted with crude oil. In the short term, domestic polyester filament factories are not high in inventory, and it is expected that the price will remain stable.

6,Polyester staple fiber rebounded after falling, and the decline of spot price slowed down. The PSF fell sharply in the first half of the week due to the rapid decline in futures prices, PSF factories and traditional traders also gradually followed the decline. The goods rebounded in the second half of the week. After a large number of signed PSF contract was sold in the early stage, the holding volume decreased, the price difference gradually strengthened, and the transaction price approached with that of the factories. PSF factory inventory has accumulated, but most of them are still owed. If the crude oil and futures markets do not rise or fall sharply, the PSF will temporarily maintain a range consolidation, and the downstream will just need to purchase, and the factory will continue to accumulate.

7,Viscose staple fiber continued to be light. The early high quotations of large mid-end fiber manufacturers were lowered, and the low quotations of high-end factories rose slightly in the second half of the week. Affected by the early decline of cotton, PSF and other futures commodities, market purchases were negative and there were few transactions in the market, but as the commodities market rebounded in the second half of the week, and market attention increased. VSF factories have a stable mentality. On the one hand, there are still a large number of pending orders for viscose factories. On the other hand, raw material costs are rising rigidly. There is no pressure or intention to reduce prices in the short term. The atmosphere of the export market is slightly better than that of the domestic market, but there is also a certain wait-and-see atmosphere compared to the previous period. The probability of price stability next week is relatively high.

www.txmc.com Polyester staple fiber production line munufacturer

Bi-Component Fiber Production Line

Bi-Component fiber, also known as composite fiber, is formed by composite spinning holes at the same time. The common structural forms are: sheath core type, side by side, island type, and orange type.

PP Fiber,Cigarette Filter and Sea-island Fiber Production Line

Denier Size: 1.5D, 3D, 6D, 10D, 15D, 18D, 22D
Cut length: 44mm, 51mm, 64mm, 76mm, 102mm (As per customer requirement)
Feel: siliconised or non siliconised soft as well as harsh feel

Acrylic Fiber Production line

Denier Size: 1.4Den, 1.5Den, 5Den, 8Den, 10Den
Cut length: 38mm, 127mm, 140mm (As per customer requirement)
Feel: Light, half light, no light

Solid Hollow Conjugated Staple Fiber Production Line

Denier Size: 1.5D, 3D, 6D, 10D, 15D, 18D, 22D
Cut length: 44mm, 51mm, 64mm, 76mm, 102mm (As per customer requirement)

Zhangjiagang Tengxiang Machinery Co., Ltd.