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Mix xylene current prices noticed at Rs 50.5-51/kg at major ports of India.

Mix xylene: Mix xylene current prices noticed at Rs 50.5-51/kg at major ports of India and expected stable to ±1 in coming days due to stable demand in the domestic market. Booking level of MX noticed at $690/mt up $5/mt week on week. International Market Updates: Asian solvent-grade mixed xylene prices rose week on week as activity was picking up after the Lunar New Year holidays the week before. A cargo was heard sold to Southeast Asia at $620/mt FOB Korea, and market sources in Southeast Asia confirmed ex-tank prices were still supporting imports at such price levels, as well as an improvement in demand this week. However, the situation in China was different, with MX inventories in East China increasing week on week by more than 40% to 100,000 mt this week, market sources said. Domestic solvent-MX prices in East China were heard on Friday at around Yuan 5,365/mt, or about $638/mt on an import parity basis, with Chinese market sources pegging the tradable CFR China price for March delivery at $600-$625/ mt. Indian market sources said imports from Iran were taking place recently and the domestic price levels meant imports were possible at around $680-$690/mt at the moment. Other trade sources said the CFR India price was currently being negotiated at around FOB Korea plus $75/ mt. In other markets, isomer-grade mixed xylene rose week on week by $24/mt to $692/mt FOB Korea amid a rise in paraxylene and US MX prices. Naphtha also rose on the back of firmer crude oil, up over the week by $34.87/mt to $520/mt CFR Japan on Friday. Rationale Solvent-MX was assessed higher by $20/mt at $620/mt FOB Korea Friday, based on a deal heard done for March loading. CFR China was assessed higher by $5/mt at $625/mt with buy ideas and tradable estimations heard at around $600-$625/mt for March arrival cargoes, and taking into consideration the high inventory level in East China at the moment. CFR Southeast Asia was heard traded at $690/mt and was assessed at that level, up $30/mt week on week, similar to the CFR India price which was priced close to FOB Korea plus $75/mt, based on market feedback, and was increased by $26/mt week on week. Asian isomer-grade mixed xylene rose week on week by $24/mt to $692/mt FOB Korea and by $22/mt to $706/mt CFR Taiwan on Friday, on the back of upstream and downstream price increases during the week. US MX prices were also firm this week, with some traders eyeing arbitrage opportunities. Overnight in the US, front-month (February) MX prices were assessed 5 cents/gal ($15.20/mt) higher at 258 cents/ gal ($784.30/mt), the last traded level. March MX was assessed 4 cents/gal higher at 258 cents/gal FOB USG. However, a trader said that the US MX market was in a backwardation and shipping MX cargoes from Northeast Asia in March meant they will only reach the US earliest by April, which could be too late. In related prices this week, paraxylene rose $5/mt to $1,106/mt, meaning the spread PX-MX shrunk $19/mt on week to $414/mt on Friday. Meanwhile, naphtha rose $34.87/mt to $520/mt CFR Japan on Friday, leading the MX-naphtha spread to narrow $10.88/mt to $172/mt week on week. Meanwhile, the East China MX inventory level increased week on week by more than 40% to 100,000 mt this week, market sources said.

Methanol priced noiced between Rs. 25.7-26.5 at major ports of India.

Methanol: Methanol priced noticed between Rs 25.7-26.5 at major ports of India and expected firm in coming days due to increased booking premium. “There is balance between supply-demand noticed in the India market.”- source said. Booking level of methanol assessed $320-325/mt CFR India up $15/mt week on week. International Market Updates: Abundant stocks of methanol cargoes at China’s eastern ports finally bore down on the domestic market Friday with spot prices dropping Yuan 60/mt on day to Yuan 2,440/mt. The actively traded May contract on the Zhengzhou Commodity Exchange tumbled Yuan 98/mt from Thursday to close at Yuan 2,480/mt Friday. “The domestic price is much lower than the futures market,” an end-user said. Trade sources said the lack of tank space at China’s eastern ports limited trading activity this week, with few traders willing to bid for cargoes as they could not find tank space to receive the product. “Those with tank space and discharging ability, can place a lower bid,” said a trader. “It’s a buyers’ market,” he added. Another trade source said only methanol-to-olefin plants had storage space to receive cargoes in the first-half of March. Consequently, a Methanol-To-Olefins plant operator bought a 10,000-mt parcel arriving in the first-half of March at $276/mt CFR China Friday. “There is no tank space to receive this cargo, so I had to sell it,” said the trader who sold the parcel. There also was a bid for a similar-sized parcel for March arrival at $295/mt CFR China. With domestic prices dropping sharply and tanks filled to the brim, CFR China cargoes would have to be lower than domestic prices to attract any buying interest, said market sources. Elsewhere, Southeast Asia and Korea were seen to be tight due to a lack of supply from the spot market. The low operating rates at a major Malaysian producer also resulted in the delay of term cargoes to end-users in Taiwan and Southeast Asia, and the tightness in these markets was further compounded by Middle Eastern producers diverting cargoes to India instead, trade sources said. Rationale Asian methanol was assessed at $285/mt CFR China Friday for cargoes delivered 20-50 days forward, down $8/mt from Thursday. While two trades were heard done at $276/mt CFR and $298/mt CFR China, the domestic spot price had dropped sharply Friday. The domestic spot price in China was assessed at Yuan 2,442/mt Friday, own Yuan 63/mt from Thursday. The CFR China marker was assessed at $285/mt, tracking falls in domestic prices. The CFR Southeast Asia marker was assessed at $332/mt, after taking into consideration a buying idea for March-arrival cargoes at $330/mt CFR and selling idea for the same period at $340/mt CFR. The CFR Taiwan marker was assessed at $309/mt Friday, down $21.50/mt on week, based on an offer for March 20-27 arrival cargoes at $310-$315/mt CFR and buying idea at $300-$305/mt CFR for March cargoes. The CFR Korea marker was unchanged at $319/mt from last Friday, based on an offer for a 10,000-mt cargo arriving in mid-March at $320/mt CFR.

toluene price updates
toluene price updates

MEK prices remain stable at Rs83/kg.

MEK: MEK prices remain stable at Rs 83/kg and expected same in coming days due to slow demand and enough inventory to cater the market. Booking level of MEK assessed between $1010/mt week on week. International Market Updates: The methyl ethyl ketone market was stable this week, with spot prices at Eur1,000/mt FD NWE, in line with indications at that level. One source said that the MEK market appeared not to have woken up after the Lunar New Year holiday.

 

MEG prices noticed higher in India in last couple of days.

MEG: MEG prices noticed higher in India in last couple of days and assessed between Rs 56- 58/kg at major ports of India and expected ±2 in coming days. “Prices noticed higher due to delayed shipment”- source. Prices were around Rs 52-53/kg last week. MEG CFR India prices noticed around $730-740/mt up $20/mt week on week. International Market Updates: The overall market sentiment in the Asian monoethylene glycol was reported to be bearish after the Lunar New Year holidays. Spot MEG demand remained limited as most polyester factories are due to restart their operations late next week. On the other hand, feedstock ethylene spiked $110/mt week on week to be assessed at $1,195/mt Friday, which pushed Asian MEG margins down this week. On Friday, the Asian MEG margin was calculated at minus $254/mt compared with minus $246/mt Thursday, S&P Global   data showed. The margin is at the lowest level since October 13, 2014, when the margin was calculated at minus $270/mt, according to   data. Market sources said, however, Asian MEG would likely pick next week as spot demand is seen to return as downstream polyester plants are due to be restarted after the Lunar New Year holiday. In related monthly contract news, MEGlobal has nominated its March Asia Contract Price for MEG at $830/mt CFR Asia main ports, $20/mt higher than February, sources close to the matter said Friday. Rationale The CFR China monoethylene glycol inched $1/mt higher day on day to be assessed at $613/mt Friday. For March, a buying idea was heard at $608-$610/mt CFR China, while a sell idea was heard at $615/mt CFR China. Meanwhile, domestic China MEG fell Yuan 20/mt day on day to be assessed at Yuan 5,020/mt Friday, with a market level heard at Yuan 5,000-5,030/mt.

phenol price updates
phenol price updates

BAM prices went higher, and IPA prices noticedat Rs.72-73/kg at major ports of India.

BAM: BAM prices went higher week on week by Rs 3/kg to Rs 105-106/kg as current trading level of bulk quantity. “Prices went higher on up feedstock and some shortage noticed at the ports.”- source said. Prices expected stable to firm trend in coming days if same situation persist in the market. Booking level of BAM went up by $20/mt week on week to $1360/mt CFR India.

IPA: IPA prices noticed at Rs 72-73/kg at major ports of India and expected stable to inched up in coming days due to moderate demand. Incoming material noticed between Rs 73-74/kg. Booking level of IPA assessed between $905-910/mt CFR India up $5/mt. International Market Updates: The IPA market was “pretty stable, availability is good and nothing is happening on C3 [IPA’s feedstock],” a source said. Another source said that “demand is picking up a bit, but nothing too serious.” But if anything, one source said, prices will fall because “the Asian market produces IPA from acetone and…acetone prices are on a falling path.” This week, though, IPA spot prices fell Eur25/mt to Eur975/mt FD NWE, within indications heard at Eur950/mt and a stable market, at Eur1,000/mt.

European oxo-alcohols spot prices were stable to higher in the week.

European oxo-alcohols spot prices were stable to higher in the week to Friday, with sources saying the market was largely balanced. Market participants said that demand from the automotive industry was still weak. However, a tightness of 2-ethylhexanol in the US market led to increased buying interest from US consumers on the European spot market, which in turn provided support to European 2-eh spot prices. Additionally, sources said there was a tightness on the dioctyl terephthalate (DOTP) market caused by a delayed shipment from Korea, which contributed to more inquiries for 2-eh used in the process of creating DOTP. “My opinion is that the 2-eh sector is the most dynamic right now with better demand than in the previous weeks,” a producer said. 2-eh was assessed at Eur1,070/mt Friday, up Eur10 on the week, within a range of Eur1,050-Eur1,100/mt corroborated by several sources and based on indications of a slight uptick in demand. In the butanols market, sources said demand was weak and there was ample availability of Russian iso-butanol in the Amsterdam-Rotterdam-Antwerp region. N-butanol and iso-butanol were assessed at Eur960/mt FD NWE and Eur800/mt FD NWE, respectively, both stable on the week. Prices for n-butanol were assessed based on a Eur950-Eur960/mt range heard corroborated by several sources and indications of weak demand. I-butanol was assessed within a range heard of Eur700-Eur840/mt and based on unchanged fundamentals. Prices in the phthalic anhydride market rose by Eur10 on the week to Eur950/mt FD NWE, corresponding to a value of Eur950/mt heard in the market. On the upstream OX market, supply was tight on unconfirmed production issues which gave support to the PA market. One PA market participant said that he received “quite a few inquiries for product [since] some [PA] suppliers may not have been able to receive enough OX and had to lower their output.”

A wave of spot buying interest reappeared in the Asian naphtha market.

A wave of spot buying interest reappeared in the Asian naphtha market Friday as end-users emerged to obtain more supplies before the current second-half March delivery prompt cycle ends this week. In North Asia, Formosa Petrochemical Corp., is seeking 75,000 mt – 100,000 mt open spec naphtha with minimum paraffin content of 70% for H2 March delivery into Mailiao, Taiwan. CNOOC is seeking 80,000 mt of open spec naphtha with minimum 65% paraffin content for delivery over March 16-April 7 into Huizhou, China. South Korea petrochemical maker Korea Petrochemical Industry Co., is seeking open-spec naphtha with minimum 77% paraffin content for H2 March delivery into Onsan. All three tenders will close February 14. Lotte Chemical Titan in Malaysia and Petrochemical Corporation of Singapore, were also seeking supplies for H2 March delivery laycans. Tenders will close on February 14. On other term deals, Japan’s Marubeni Corp. and Qatar Petroleum for the Sale of Petroleum Products, or QPSPP, have signed a five-year contract for the supply of light naphtha, the Qatari producer said in a media statement late Friday. Under the contract, QPSPP will supply Marubeni 200,000 mt of light naphtha every year, starting January 2019. This is the third five-year contract signed by the two parties. In October last year, QPSPP inked two contracts to supply Marubeni a total of 1.2 million mt/year of naphtha between October 2018 and September 2023. Market sources said the grades in the October deals likely involved plant condensate or Pearl GTL naphtha. However, the companies could not be reached to confirm the grades and price details for those contracts. Qatar sells Pearl GTL naphtha, plant condensate, full-range naphtha, NGL condensate and light virgin naphtha. Kuwait Petroleum Corp. also concluded negotiations with its term buyers for the renewal of light and full range naphtha contracts for loading over April 2019-March 2020, according to market sources. The cash differential for full range naphtha was concluded at plus $10.50/mt to Mean of CSG Arab Gulf naphtha assessments, FOB, and for light paraffinic naphtha at plus $12/mt to MOPAG naphtha assessments, FOB, for that current train, market sources said. The deal levels concluded in this round were a touch lower than levels signed for the last term contract. For the December 2018-November 2019 naphtha cycle, the Middle Eastern supplier inked at plus $15/mt to MOPAG naphtha assessments for light naphtha and at a premium of $13.50/mt to MOPAG naphtha assessments for full range naphtha, FOB.

Asian styrene monomer was unchanged on the day at $1,066/mt CFR China and $1,026/mt FOB Korea.

Asian styrene monomer was unchanged on the day at $1,066/mt CFR China and $1,026/mt FOB Korea Friday. The best bid was heard at $1,060/mt CFR China while the best offer was heard at $1,075/mt CFR China, for March arrival cargoes. However, there were no deals heard concluded. In the east China domestic market, prices appeared lower in the morning before recovering in the afternoon. The balance February marker was assessed up Yuan 10/mt on the day at Yuan 8,420/mt ex-tank, while the March marker was assessed flat on day at Yuan 8,480/mt ex-tank Friday. A market source said that after the holiday season, styrene market is seeking clarity regarding price direction. On one hand, strong production margins and healthy downstream operating rates were seen prior to the holiday. On the other hand, record-high inventory in east China remains a concern, especially with “tank space running low,” a source said. However, styrene imports into China are expected to ease, said a Chinese trader. According to S&P Global CSG data, styrene margins were calculated at $121.80/mt Friday, based on feedstock ethylene CFR Northeast Asia at $1,180/mt and benzene CFR China at $611/mt.

RATIONALE:

Asian SM was assessed flat on the day at $1,066/mt CFR China and $1,026/mt FOB Korea Friday. The CFR China and FOB Korea SM markers currently take the average of the H1 and H2-March laycans. There were no transparent bids or offers during the CSG Market on Close assessment process on Friday. H1 and H2 March were assessed at $1,066/mt CFR China, tracking firmer sentiment in the east China market in the afternoon. The East China domestic March marker was assessed at Yuan 8,480/mt ex-tank Friday, unchanged on the day. On an import-parity basis, this is about $1,058/mt. The FOB Korea marker was= assessed at $1,026/mt Friday, based on the pegged $40/mt spread to CFR China, while CFR Taiwan marker was assessed at $1,054/mt Friday, based on the pegged $12/mt spread to CFR China.

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European spot prices rose Friday as demand for prompt cargoes re-emerged.

European spot prices rose Friday as demand for prompt cargoes re-emerged. S&P Global CSG assessed styrene for loading 5-30 days forward at $1,001.50/mt FOB ARA Friday, up $4.50 on the day. Earlier in the week buying interest had been centered on March and April cargoes as market participant secured volumes ahead of the turnarounds beginning at the end of the first quarter and start of Q2. Trading shifted to prompt cargoes as a 1,000 mt deal was heard at $990/mt FOB Moerdijk for February delivery. Downstream, polystyrene demand was said to be strong as buyers continued to capitalize on lower prices. “Demand is still high, producers are almost sold out. Supply is tight, it is difficult to get volume,” a converter said. However another converter remained bearish on polystyrene. “Demand is what you expect for February, end-user consumption has not increased. This is artificial demand, the polystyrene sector is decreasing, nobody wants polystyrene.” In Asia, styrene was unchanged on the day at $1,066/mt CFR China and $1,026/mt FOB Korea Friday. Record high inventories in East China remain a concern, especially with tank space running low, a source said.

RATIONALE:

S&P Global CSG assessed styrene for loading 5-30 days forward at $1,001.50/mt FOB ARA Friday, up $4.50 on the day. February was assessed at $990/mt, up $9 on the day, in line with a trade heard at $990/mt and within the bid offer range at $980-$995/mt. March was assessed at $1,009/mt, stable on the day, within a bid-offer range heard at $1,005-$1,025/mt

Asian isomer-grade mixed xylene prices rose day on day by $14/mt to $689/mt

Asian isomer-grade mixed xylene prices rose day on day by $14/mt to $689/mt FOB Korea and to $703/mt CFR Taiwan on Friday, amid a slew of bullish factors in the international markets, such as rising upstream and downstream prices, as well as a price rally in the US with a potential for arbitrage shipments, according to trade sources. US front-month (February) MX prices were overnight assessed 4 cents/gal ($12.16/mt) higher at 253 cents/gal ($769.10/mt), while March MX was assessed 4 cents/gal higher at 254 cents/gal ($772.20/mt) FOB USG. A Northeast Asian trade source confirmed the arbitrage was workable and said some market participants were eyeing shipments from Northeast Asia to the US Gulf. “It is definitely good news for everyone,” he said, adding that inventory levels were high around the region. For example, the East China inventory level of MX was at around 100,000 mt this week, sources said, up from last week’s assessed level of 70,000 mt.

RATIONALE:

Isomer-MX was assessed up day on day by $14/mt at $689/mt FOB Korea and at $703/mt CFR Taiwan on Friday. The markers take the average of the third and fourth half-month laycans, currently H1 March and H2 March. No bids or offers were registered during the S&P Global CSG Market on Close assessment process. During the MOC process, March-loading cargo heard the best bid at $688/mt FOB Korea, and the April cargo heard a bid at $684/mt FOB Korea. Both H1 and H2-March laycans were assessed at $689/mt FOB Korea, above the bid. No bids or offers were heard during the MOC process on a CFR Taiwan basis, and the marker was assessed up, in line with the rise in FOB Korea prices, upstream prices and downstream prices. The above rationale applies to the following market data codes: PHAUV00 for FOB Korea and PHAUT00 for CFR Taiwan.

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