ACN Weekly Report 07 April 2018

Weekly Price Trend: 02-04-2018 to 06-04-2018

• The above given graph focuses on the ACN price trend from 2nd April to 6th April 2018.
• Domestic prices continue to plunge for this week as well. This week price has further reduced to the level of Rs.128/Kg for bulk quantity.
• Prices reduced by Rs.2/Kg by end of the week. The closing value for ACN for this week was Rs.128/Kg for Kandla port.

Booking Scenario

The above chart shows the international prices of ACN. CFR India prices of ACN were assessed in the range of USD 1860-1880/MT.

INDIA& INTERNATIONAL

• Prices of ACN were assessed around Rs.128/Kg, reduced by Rs.2/Kg for bulk quantity in span of one week. This week again prices has been on reducing row due to bulk availability of inventory.
• CFR India prices of Acrylonitrile were assessed in the range of USD 1860-1870/MT, reduced by USD 75/MT in compare to last week’s closing values.
• Feedstock Propylene market remained unchanged for this week. FOB Korea values were assessed around USD 1005/MT while CFR China values were assessed around USD 1035/MT while CFR SEA values assessed around USD 930/MT.
• China’s company Sinopec Zhenhai Refining and Chemical has announced its maintenance schedule for its naphtha cracker unit. The unit is likely to go off-stream in the second half of May for scheduled maintenance turnaround.
• The cracker has the production capcity of 1 million mt/year of ethylene, 550,000 mt/year of propylene and 180,000 mt/year of butadiene.
• In Asian market there has been slow down in ACN values on back of ample supply in the China market. Chinese domestic market has been lowering on heavy rate in turn curbing the imports as consumers find it too expensive in dollars. Many plants in China has resumed their production after maintenance.
• In US ACN prices are likely to reduce further USD 200-300/MT in the second quarter due to reduced feed-stocks costs and global supply.
• This week crude oil prices have remained volatile. On Thursday oil prices increased from gains in U.S. equities markets as trade tensions between China and the United States eased, but the advance was limited by strength in the dollar.
• On Thursday, closing crude values have increased. WTI on NYME closed at $63.54/bbl; prices have decreased by $0.17/bbl in compared to last closing prices. While Brent on Inter Continental Exchange increased by $0.31/bbl in compared to last trading and was assessed around $68.33/bbl.
• As per report, U.S. crude production hit a new high, but that was not enough to change the overall bullishness. OPEC and its allies are collectively curbing 1.8 million barrels per day of crude output to help eliminate a global oil glut. The cuts run until the end of 2018 but Saudi Arabia has said they could be extended in some form into 2019.

$1 = Rs. 64.96
Import Custom Ex. Rate USD/ INR: 65.90
Export Custom Ex. Rate USD/ INR: 64.20