http://www.yarnsandfibers.com YarnsandFibers Textile PriceWatch en bharati@yarnsandfibers.com YarnsandFibers Thu, 11 Mar 2010 22:38:46 -0700 Thu, 11 Mar 2010 22:38:46 -0700 http://www.yarnsandfibers.com/images/topbanner_logonew.gif http://www.yarnsandfibers.com/rpricewatch/index_main.php3/ http://www.yarnsandfibers.com/rpricewatch/index.php3 Wool The Australian wool market eased Aus cent 4 while in US currency terms the EMI gained this week. The EMI at Aus$9.15 a kg, ended the week at US$8.26 a kg, up US cents 9 from previous week. The North Australia index closed at US$8.52 a kg, while West Australia was at US$8.34 per kg. The South Australia Index closed at US$8.03 a kg. http://www.yarnsandfibers.com/rpricewatch/index.php3 Cotton The upward movement in cotton prices slowed down a bit as worries over potential supply deficit in USA during the upcoming season is likely to be erased. According to Cotlook, the 400,000 ton deficit assumed in the USA will be offset by output increases in India and Pakistan. Cotton futures was down from US cents 82.61 per pound to US cents 82.53 per pound at the end of this week. The Cotlook ‘A index gained US cents 0.55 at US cents 86.10 per pound. http://www.yarnsandfibers.com/rpricewatch/index.php3 VFY Viscose filament markets in China and India were stable and prices almost rolled over previous weeks numbers. In China, downstream operation had begun to recover with filament demand selling faster. Demand had improved in major destinations and some traders had reportedly withheld their goods in expectation of higher prices. http://www.yarnsandfibers.com/rpricewatch/index.php3 VSF VSF market prices continued to rise in China mainly led by the push by Shandong Helon, which drove prices in north China spiraling. It was followed by more producers raising their offers simultaneously. It is expected that cotton pulp prices will move up significantly after the industrial conference to be held this week end. This will result in viscose staple market prices reaching US$2.95 a kg and above in the coming week. http://www.yarnsandfibers.com/rpricewatch/index.php3 ASF The firm rise in acrylonitrile prices due to short supply has resulted in severe cost pressure on acrylic producers. Many acrylic fibre producers were contemplating cut in run rate or shutdown due to squeeze in margins. Sellers were actively raising offers in expectation of tight supply, while buying interest from downstream textile market was not brisk as they bought hand-to-mouth volumes. With downstream demand gradually improving, ASF prices are likely to move up further, but the markup will be limited. http://www.yarnsandfibers.com/rpricewatch/index.php3 Fiber Intermediates The supply tightness in Asian acrylonitrile market persisted this week but did not support any major price rise. With Lunar-new-year holidays ending run rates were recovering at acrylonitrile plants in China. Given poor propylene market and the pessimism in the short run support to acrylonitrile will taper. The market is expected to narrowly firm up next week, with the uptrend will gradually wane off. http://www.yarnsandfibers.com/rpricewatch/index.php3 Propylene Asian propylene prices climbed on the back of upcoming shutdowns of propylene plants in Asia and rising crude oil that broke through US$80 a barrel mark. With propylene derivatives units were running at full capacities on concerns of a decline in propylene supply in Asian market. About 13 units in Japan, South Korea and Taiwan will take turnaround until June, with relative capacity of around 365,000 ton. http://www.yarnsandfibers.com/rpricewatch/index.php3 NFY Nylon filament yarn prices were up this week in China and India due to severe cost pressure. Although, benzene market was modest and prices down, caprolactum prices increased sharply on tight supply followed by nylon chip numbers. In China, buying interest was rising but producers were cautious in resuming operation as their profit margins were hard to improve. Coming week, NFY prices were likely to edge up. http://www.yarnsandfibers.com/rpricewatch/index.php3 Polyamide Chips Although benzene prices slackened this week caprolactum prices rose sharply resulting in increased cost pressure on nylon chip producers. Thus producers hiked prices cautiously as demand from downstream market was weak. In China, producers were slowly resuming operations post holidays. Demand for chips in expected to improve as downstream would replenishment after the holiday. Coming week, the markets expect chip values to remain on the uptrend. http://www.yarnsandfibers.com/rpricewatch/index.php3 Fiber Intermediates Caprolactum prices surged significantly in Asian markets due to tight spot supplies and firm demand in China market. Although benzene prices have been declining, their fall was offset by the hike in ammonia and sulfur values. Many producers expect spot caprolactum prices would go up to US$2,500 a ton in the short run. With Japan\'s Ube Industries shutting its Sakai unit for maintenance from 20 March up to April-end availability in Japan will reduce somewhat. http://www.yarnsandfibers.com/rpricewatch/index.php3 Benzene Benzene prices declined across markets of Asia, Europe and USA this week due to surplus supplies. About 100 kilo ton of benzene would leave Asia for USG in H1 Mar. Market sources opines that the surplus supply condition would continue for some more time. However, the price-gap between naphtha and benzene was still healthy and the benzene market do not expect cut in run rates of naphtha cracker. http://www.yarnsandfibers.com/rpricewatch/index.php3 PSF Asian polyester staple fibre market sentiment was still poor this week though the holidays in China were over. MEG and PTA markets were also ranged bound and prices had weakened. Overall demand was still poor as many downstream spun yarn mills in China had not resumed operation post holidays. Coming week, demand for PSF is likely to improve gradually and prices are expected to go. http://www.yarnsandfibers.com/rpricewatch/index.php3 PFY Asian polyester filament yarn markets were soft and prices were seen declining in China this week, particularly of POYs. Trading in most markets was retreating due to lack of downstream demand and decline in cost pressure. Both PTA and MEG were cheaper in Asia, although crude futures marched beyond US$80 a barrel. Coming weeks PFY prices are expected remain range bound in most markets. http://www.yarnsandfibers.com/rpricewatch/index.php3 Fiber Intermediates The expected strong uptrend in China polyester chip markets after the Spring Festival did not materialize and in contrast prices inched down. Upstream feedstock numbers too had declined due to oversupply and lack of adequate demand. In China polyester units were gradually restarting after the Spring Festival, and mainly produce chips in early period. The Asian market prices are likely to remain stable in coming week, with a possibility for the numbers going up. http://www.yarnsandfibers.com/rpricewatch/index.php3 Fiber Intermediates PTA market sobered down and prices declined in week in Asian markets as downstream market recovery was slowly and buying interest was weak. The bearishness was also affected by weakening PTA futures in China. The decline in spot paraxylene prices is expected to provide support to PTA from the cost side. The markets expect PET plants may make replenishment and prices to hover up in coming weeks. http://www.yarnsandfibers.com/rpricewatch/index.php3 Fiber Intermediates MEG sentiment weakened significantly and prices were headed down during the week due to lack of buying interest. In China shortage of tanks forced sellers to glut the market resulting in over supply. In coming weeks, buyers may tend to short cover as prices are considered as having bottomed out. However, MEG prices are likely to go soft in the near term. http://www.yarnsandfibers.com/rpricewatch/index.php3 Paraxylene Asian paraxylene prices declined this week as the markets were concerned about the surplus supply as there were still about 7-8 downstream PTA units to be shut for maintenance in March-April this year. Prices in Europe too mirrored the Asian trend. Nippon Oil and Idemitsu Kosan settled March contract at US$1,020 a ton CFR Asia, down US$70 from contract nominations for March. http://www.yarnsandfibers.com/rpricewatch/index.php3 Ethylene Ethylene prices declined further in Asian markets while they gained in USA this week. European numbers were steady at previous weeks level. In NE Asia prices fell to eight-week low due to increased supplies from Japan where several ethylene downstream units were facing plant related issues prompting exports of spot ethylene from the region. Sustained supplies from Middle East sobered spot prices in SE Asian. In addition, Shell commissioned its new 800 kilo ton naphtha-fed steam cracker. http://www.yarnsandfibers.com/rpricewatch/index.php3 Naphtha Spot demand in Asia was strong on high cracker runs, pushing benchmark naphtha crack spread against Brent crude to US$155.48 a ton a six-week high premium. Amid strong demand and restricted supplies, Indias Indian Oil Corp plans to sell 60,000 tons for late March loading, anticipating a higher premium. It had fetched a premium of over US$16 a ton on an earlier shipment. http://www.yarnsandfibers.com/rpricewatch/index.php3 Crude Oil Crude oil prices rose to a seven-week high this week on reports indicating that the USA lost fewer jobs than expected in February and on signals of China maintaining its economic stimulus measures. A weaker dollar and increased production ahead of the traditionally busy summer driving season also supported price rise.