Kim Gu, A Polyester Staple, Has Had A Slack Supply.

In the past few months, the market of polyester staple fiber has been very cold, which is quite different from that of last year. Almost all manufacturers were wait-and-see attitude before, and the actual volume was low, waiting for the arrival of September. Now it's mid September. Let's see if the market of polyester staple will rise with the wind that we expect.

Saudi Arabia promises to resume production by the end of the month

It is close to recovering 70% of 5 million 700 thousand barrels / day loss, and oil production will fully recover in the next 2-3 weeks, recovering faster than originally anticipated. After the announcement, the US and cloth oil fell by 6%, and the PTA and MEG markets will be affected.

Oil prices continued to rise, after the Saudi Minister of energy said that oil supplies had been restored to levels before the attack. Although Saudi Arabia's oil facilities have been attacked, the refineries will fully supply crude oil in October, and the average oil production in September and October will be 9 million 890 thousand barrels / day.

Good fundamentals, LIMITED

As an oil derivative, PTA and ethylene glycol futures also rose sharply, and the polyester staple fiber enterprise itself was lower, and the news was further boosted. On Monday, the price of the staple polyester staple fiber business in the early morning was up 100-300 yuan / ton.

However, in the next week, the staple fiber staple market can only be maintained for a short period of time. The reason for this market rally is mostly due to the sharp rise in crude oil, but it is worth noting that when the issue of Saudi Arabia's resumption of production is still controversial, the United States may release strategic oil reserves at any time, and the latter may be suppressed.

On the basic side, although the stock of polyester staple fiber is low at present, the high start of polyester is also a strong boost to the raw material terminal, but the demand side has not fundamentally improved. In addition, the PTA and PX will still have new production expectations in the future, and the fundamentals are limited.

The supply of the market is ample.

At present, the processing fee of PTA is still ample, and the overhaul time of Dachang is likely to continue to postpone. However, from the time when the new equipment is put into operation, the supply of the market is ample, and the cost side support is limited. After the initial delivery of polyester staple fibers after the beginning of the week, the replenishment enthusiasm of the downstream market is hard to maintain, and the terminal market has no substantial improvement.

To sum up, PTA and ethylene glycol futures market continues to fall, and many downstream have been stocked up ahead of schedule, and there are short stop plans for a few cotton mills and weaving factories during the National Day holiday, and demand support is weak. It is expected that the market of polyester staple fiber is partly high today, and the supply of goods is likely to be cloudy. (source: Business Association, long Zhong information)