Weekly Report: VSF/Spandex/Nylon（Mar.12th-Mar.16th）

     The quotation of VSF continued to weaken and the transaction center went lower this week. At present, the leading quotation of VSF was around 16,200-16,700 Yuan/ton in the market, declined 600 Yuan/ton compared with last week. Due to the mild production and marketing, some manufacturers of VSF had to sell at low price, and individual manufacturers that the transaction price was lower to 16,000 Yuan/ton. The inventories of leading manufacturers were appropriate, but the inventory pressure of some manufacturers was great in China-Xingjiang region, and panic mind in the market existed. In addition, the price of staple cotton linter was relatively strong and the whole market was steadier. The deals of cotton pulp were flat. In the high cost of support, the manufacturers and purchasers couldn’t reach an agreement of the negotiating price, so it inhibited sales of cotton pulp. Meanwhile, the price of spun rayon yarn was weak in downstream market and the trading atmosphere was general. The price of it declined slightly owing to the strong shipment intention in the yarn manufacturers, so the market was confusion. In conclusion, because demands are hard to improve, VSF is lack of the support of good news. It expects that it will continue to remain weak consolidation next week.

    The price of spandex was in a stalemate and the purchase was incompetent in the downstream. The quotation of spandex 20D consolidated from 56,300 Yuan/ton to 56,200 Yuan/ton, fell down 100 Yuan/ton, the spandex 40D consolidated from 43,200 Yuan/ton to 43,000 Yuan/ton, declined 200 Yuan/yon. Judged from the decline, most of the buyers belonged to wait-and-see condition in the downstream. The manufacturing enterprises hoped to increase sales by enlarging the preferential space of the order, but the high cost of the upstream market made the spandex manufacturers close to loss and some one already reached the deficit. To sum up, it expects that the sellers will increase the preferential strength and the price of spandex will keep consolidation.

    The price of nylon chips generally declined 100 Yuan/ton. The price of conventional spinning nylon chips was adjusted to 24,900 Yuan/ton and the high-speed spinning was 24,900 Yuan/ton. Due to the weak consolidation of CPL in the upstream raw material, which led the quotation of nylon chips to slip, as well as the shortage of trading volumes,the overall market was weak. In the aspect of nylon yarn in downstream market，the cash quotation of medium and low-end nylon POY85D/24 was around 27,200-27,700 Yuan/ton, and semi-bright FDY70D/24 was quoted for 28,800-29,200 Yuan/ton in China-Jiangsu & Zhejiang market .Moreover, the market was still quiet and the leading quotation of nylon FDY40D was 31,500-33,000 Yuan/ton. It was expected that the nylon price was basically stable, it was no obvious to further loosen, and demand was general.