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Yarn market to mainly adjust in short term
Jan '11
PTA price was temporarily stable during the New Year period, MEG and CDP chip prices corrected, semi-dull and super bright polyester chips consolidated and prices of PET bottle chips changed marginally.

Prices of acrylic staple fiber 1.5D × 38mm and acrylic top 3D × 102mm, while CPL and nylon 6 chip prices lifted up.

Polyester filament market was influenced by the holiday mood, due to which overall trade volume was light, although offers of polyester filament were basically unchanged and actual trade price still showed moderate concession.

One major spinning manufacturer in Shenze reduced its FDY price on January 2. 50D/48F was offered at 17100 Yuan/ ton (six-month acceptance). Sales of POY enlarged on January 2, mainly due to stockpile building and covering of short positions by downstream processing factories on expectation of bullish market.

POY opened 100 Yuan / ton higher on January 3 in Tongxiang area. Although downstream textile market has entered the traditional off-season, downstream market was even bleak during New Year's holiday period.

Polyester filament market will still be based on consolidation next week, being driven by strong raw material prices in upper reaches. Polyester staple fiber price moved up slightly, while price of viscose staple fiber showed transient stability.

Prices of polyester/ cotton yarn and viscose yarn remained unchanged during the New Year's period, trade volume was small. Sales of cotton yarn 21s, 32s, 40s were fair, prices were flat.

Trade volume of rayon yarn was modest, prices remained stable. Polyester yarn price increased amid steadiness, trade volume of 45s slightly enlarged. Yarn market is expected to mainly move through adjustment in the short term.

Fibre2fashion News Desk - China

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