Downstream production and sales rebound, PTA shocks higher

Zhengzhou PTA** oscillated higher in early trading on the 28th, with the main contract of 1209 closing at 8792 yuan/ton, up 30 yuan/ton. The international market is temporarily in a lack of news. China’s industrial profits posted negative growth in 27 months since yesterday, which proves that the slowdown in China’s economic growth is brewing and will certainly dampen the market. Although the downstream climate improved, production and sales rebounded, and the price of PTA was boosted. However, the demand was not the full start of the end demand, and the promotion of PTA price could not be sustained. It is expected that even the PTA will maintain the concussion pattern in the short term.

The New York Mercantile Exchange (NYMEX) crude oil ** 28th Asian electronic trading opened lower within a narrow range, US Treasury Secretary Geithner said on Tuesday that the United States is working with Saudi Arabia and other major oil producers to ensure the expansion of production. Help ease supply disruptions and tensions caused by Western sanctions against Iran. This will bring some relief to the market. Crude oil fell. As of 11:30 p.m. Beijing time, NYMEX May crude oil prices reported at 106.75 U.S. dollars per barrel, down 0.58 U.S. dollars.

According to data released by the National Bureau of Statistics yesterday, from January to February this year, the industrial enterprises above designated size realized profits of 606 billion yuan, a decrease of 5.2% year-on-year. This is the first negative growth in profits of industrial companies since November 2009. Among them, state-owned enterprises' profits fell by 19.7% year-on-year, while private enterprises increased by 24.4% year-on-year.

Upstream raw materials, the United States PX market offer prices stabilized at 1480/1490 US dollars / ton FOB US Gulf, the United States PX market is dull, market talks are limited. Western and Northern European PX market prices held steady at 1495-1497 U.S. dollars per ton FOB Rotterdam. The PX market in Europe was in poor market conditions. The Asian Paraxylene (PX) market price rose slightly by US$1/tonne to US$1585-1586/tonne CFR China Taiwan/Mainland China, and US$1560-1561/tonne FOB Korea.

In the spot market, PTA's market conditions in North China continue to rise. The market offer price is about 8850-8900 yuan/ton, the downstream manufacturers bid price is about 8800 yuan/ton, and the actual negotiation price is 8850 yuan/ton. Downstream manufacturers generally demand, the market trading atmosphere is dull, the actual talks are limited. PTA East China's domestic trade market prices rose slightly, the offer price of the buyer was around 8800 yuan/ton, the downstream bid price was around 8700-8750 yuan/ton, and the actual negotiation price was around 8750-8800 yuan/ton. The atmosphere of the market transaction is fair and the actual negotiation is general.