– PX inches up after Monday tumble
– FOB Korea falls $15/mt day on day
Asian isomer-grade mixed xylene was assessed down $3/mt week on week at $723/mt FOB Korea and by $1/mt at $737/mt CFR Taiwan Monday, amid volatility in both upstream and downstream markets during the week. June ICE Brent crude oil rose above $75/b earlier in the week but had dropped to $74.21/b at 0830 GMT in Asian close Monday, down $1.07/b day on day. The FOB Korea isomer-MX marker was assessed down $15/mt day on day, as offers appeared, and following a sharp tumble in paraxylene the previous day. However, PX had inched up $3.17/mt day on day to $951/mt CFR Taiwan/China on Monday. Over the week, the spread between PX and MX narrowed by $11.67/mt to $228/mt on Monday. The spread hit a low of $209.83/mt on Monday, the lowest since July 30, 2018, when it was at $202.83/mt, S&P Global data showed. Asian PX continued to weaken as supply increased due to the start of Hengli Refining and Petrochemical’s new 2.25 million mt/year PX plant in Dalian in late March. Meanwhile, in China-related news, the East China isomer-MX inventory level decreased about 15% week on week to close to 110,000 mt this week, market sources said. The prompt East China isomer-MX price was heard at Yuan 5,680-5,700/mt on Monday or about $720.60/mt on an import parity basis. Ex-tank cargoes for early May were heard negotiated at Yuan 5,710-5,730/mt, or about $724.40/mt.
Asian isomer-MX was assessed down $15/mt and $5/mt day on the day at $723/mt FOB Korea and $737/mt CFR Taiwan, respectively, Monday. The markers take the average of the third and fourth half-month laycans, currently second-half May and H1 June. No bids or offers were registered during the Market on Close assessment process. During the MOC, an offer for a second-half May FOB Korea cargo was heard lowered to $725/mt but did not attract any bids. The H2 May laycan was assessed at $723/mt FOB Korea, below the offer. H1 June was assessed at par with H2 May at $723/mt FOB Korea, keeping the structure unchanged day on day. No bids or offers were heard on a CFR Taiwan basis, but the marker was assessed lower by $5/mt to $737/mt. The above rationale applies to the following market data codes: PHAUV00 for FOB Korea and PHAUT00 for CFR Taiwan.