Weekly Report: Polyester Yarn (Feb, 20- Feb, 24)

The polyester yarn market began with increase and ended with decrease this week. In the beginning, supported by the strong prices of polyester feedstocks, the quotations of polyester yarn manufacturers kept steady. However, the quotations began to decreased with the drop of feedstocks prices, including PX and PTA. The sales of polyester yarn were still weak due to cautious attitude of the weaving factories.

FDY price was weak this week and some of the manufacturers decreased the previous quotations with a range among 100-300 Yuan/ton. As for sales, bright FDY 150D, used for bags fabrics, sold well. The shipment of FDY 75D/144F and 75D/36F (black yarn), also performed well. The leading quotations of FDY 50D/24F were around 15500 Yuan/ton with 6-month acceptance.

 DTY market was as normal. Some manufacturers cut the price due to high inventories. The demand of DTY 75D/36F, DTY 100D/144F and 150D/144F increased. The quotation of DTY 150D/144F was 15100 Yuan/ton at the end of this week,

POY market was also weak and most quotations were stable. Leading quotations of POY 150D/144F were around 12950 Yuan/ton by cash.

The inventories of polyester manufacturers kept increasing due to weak sales among the downstream weaving factories. While both sales and demand kept weak, the prices of polyester yarn would be hard to increase in recent times.

In this week, PSF followed the adjusting tendency and leading quotations continued to decreased. Under wait-and-see attitude, weak consumption, insufficient trades, the PSF manufacturers turned to cut the quotations. Sinopec announced its quotation of direct spinning PSF as, semi-dull 1.4D at 12700 Yuan/ton and bright 1.2D at 13300 Yuan/ton.

At present, the trading atmosphere was mild in PSF market and the marketers were mostly pessimistic about the aftermarket. The demand in terminal market was still weak which resulted in weak consumption in downstream market. The whole PSF market was lack of confidence. The PSF market is expected to follow the same tendency recently as there is lack of favorable news.