Acrylic fibre prices declines after weeks of stability

Poor demand and lack of cost support had its toll on the acrylic staple fibre markets in Asia. Last week buyers largely held sideline stance expecting further fall in the settlements. Discussions were largely in tandem with the downslide in settlement prices. However, liquidity was still moderate and producers continued to deliver goods running at low operating rates. With sentiment hard to rebound in absence of bullish signs, ASF prices are likely to remain range bound at low levels. Offers for regular of Taiwan origin ASF were down US cents 3 on the week at US$2.25-2.30 a kg, with bids even lower at US$2.20 a kg. In China, offers for 1.5D and 3D staple were at US$2.71-2.77 a kg and US$2.65-2.69 a kg respectively, both down US cents 10-14 week on week. Upstream, acrylonitrile prices fell for the fourth consecutive week, retreating both in Far East Asia and Southeast Asia, while CFR South Asia remained flat. Asian markers fell US$10 on the week with CFR Far East Asia assessed at US$1,824-1,826 a ton and CFR Southeast Asia marker assessed at US$1,819-1,821 a ton. In US, acrylonitrile spot assessment dropped US$5 week on week to US$1,660-1,680 a ton FOB USG on continuing weak export demand. European acrylonitrile shrugged off bullish expectations for December propylene contract prices, slipping US$20 to close the week at US$1,750-1,755 a ton CIF Mediterranean. SOURCE: PriceWatch Report