PTA Market Daily (Dec 17, 2010)

Review
PTA market was still in standstill with prices slightly up. The offers were sporadic in the morning, while the bids were at 9350-9400yuan/mt. The deals were talked at 9400yuan/mt. The enquiries were mostly from traders, while the polyester producers remained mute. In import market, the polyester producers remained inactive and only some traders enquired for replenishing demand. Taiwan origin goods were transacted at $1175-1180/mt, while Korea goods at $1165/mt. Some traders purchased goods at $1170/mt in the morning.　

PTA market was maintained in the afternoon. In China domestic market, the discussing level was around 9400-9450yuan/mt. In import market, Taiwan origin goods were traded at $1175-1180/mt, while Korea origin goods were talked at $1160-1165/mt. Polyester plants kept wait-and-see for high-priced cargoes, while the traded still shoed buying intentions.

Downstream market
The sales of polyester filament yarn in Jiangsu and Zhejiang were still sluggish. The sales ratio were largely at 50-70% with lower at 30-40%.

Outlook
PTA market will continue to consolidate with inadequate rising momentum as the downstream polyester market is expected to remain bearish amidst cautious sentiment. Operating rate of weaving plants fell as the confidence cannot be regained in the short term.

$1=CNY6.65

source:CCFGroup.com