Home / Knowledge / News / Textiles / PTA expected to remain in weak consolidation
PTA expected to remain in weak consolidation
17
Jul '10
Zhengzhou PTA futures opened lower on July 15 and closed below 7,000-Yuan mark as the market plunged in late hours. The most active contract1009 ended at 6964 Yuan / ton, down 192 Yuan or 2.68 percent from the previous day.

At present, PTA is still in high-margin, high operating rate and high inventory position. Market operators continue to worry about tightening policies and foreign trade situation, PTA will continue to maintain weak trend without reverse conditions, if there is no major rebound in oil prices.

In PTA spot market, market sentiment in East China continued to weaken, offers from a few holders were around 7000-7050 Yuan / ton, buying volume was very light. Negotiation focus lowered to 6900-6950 Yuan / ton, firm offers were rare.

Market climate of Asian PTA spot sank in stalemate, trading atmosphere between buyers and sellers was light, and both sides were sidelined. Discussion focus for Taiwan goods slipped to US $840-845/ ton, firm offers were rare.

In the downstream market, PTA futures fell sharply and chip-spinning enterprises showed strong wait and watch mood. Offers from factories were around 9150-9300 Yuan / ton (payment in cash or three months acceptance). Main discussion level stayed at 9100-9200 Yuan / ton (payment in cash or three months acceptance).

Polyester staple fiber in Zhejiang market fell again. Offers from holders stood at 9500-9700 Yuan / ton, actual negotiation level was around 9350-9500 Yuan / ton. At present, polyester POY is around 11200-11250 Yuan / ton, polyester FDY is around 12,200 Yuan / ton, polyester DTY is around 12550-12650 Yuan / ton.

PTA fundamentals are weak. Upstream naphtha stock is on 15-year high level; PX shows excessive supply since the operation of additional capacity (3.8 million tons).

Textile exports have displayed a steady recovery trend, which will drive demand growth of PTA from downstream polyester plants. However, recent signs indicate that US economic recovery rate has slowed down and the government has cut its economic growth expectation.

Although Europe is getting out of European debt crisis and quagmire, economic growth outlook remains worrisome under tightening policies; textile export growth is expected to be affected. Therefore, market outlook of PTA will remain in weak consolidation.

Fibre2fashion News Desk

Must ReadView All

L-R Manish Singhai, COO, Peter England; Vinai Kumar Saxena, chairman, KVIC; Ashish Dikshit, business head, ABFRL and Anshu Sinha, CEO, KVIC while signing agreement. Courtesy: ABFRL

Textiles | On 24th May 2017

Aditya Birla & KVIC enter into a strategic partnership

Aditya Birla Fashion and Retail Ltd (ABFRL) and Khadi and Village...

Courtesy: Jabong

Apparel/Garments | On 24th May 2017

Jabong Mood Store redefines online shopping in India

Jabong, India's leading online fashion retailer, has launched the...

Textiles | On 24th May 2017

Starlinger unveils FX 8.0 circular loom for fabric making

Starlinger, a leading supplier of machinery for woven plastic...

Interviews View All

Yash Agarwal
Hitansh Online

Every market region has its own culture and trends

Anshul Sood
Oceedee

‘Indian footwear market is nascent and largely a trend follower’

Priyanka
Studio Priyanka Rajiv

‘To reinvent the age-old tradition of embroidery to suit demographics and...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
May 2017

May 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search