EDC Weekly Report 12 May 2018

Weekly Price Trend: 07-05-2018 to 11-05-2018

• The above graph focuses on the weekly price trend of EDC for the current week.
• As per the above graph, it has been inferred that this week the prices of EDC have remained firm in compare to previous week and at the end of this week prices were assessed at the level of Rs 18/kg.

Booking Scenario

INDIA & INTERNATIONAL

• This week in the domestic market, prices of EDC have remained firm in compare to previous week and were assessed at Rs 18/kg.
• In international market, prices of EDC have remained firm in compare to earlier week.
• This week with the little volatility oil prices have escalated sharply. On Thursday as traders adjusted to the prospects of renewed U.S. sanctions against major crude exporter Iran amid an already tightening market.
• On Thursday, closing crude values have decreased. WTI on NYME closed at $69.06/bbl; prices have decreased by $1.67/bbl in compared to last closing prices. While Brent on Inter Continental Exchange decreased by $1.32/bbl in compared to last trading and was assessed around $74.85/bbl.
• The United States plans to impose new sanctions against Iran, which produces around 4 percent of global oil supplies, after dump an agreement reached in late 2015 which limited Tehran's nuclear ambitions in exchange for removing U.S.-Europe sanctions.
• This week feedstock ethylene prices were assessed lower on account of plentiful deep-sea cargoes availability coupled with continued weaker regional buying sentiments.
• FOB Korea prices of feedstock ethylene USD 1205/MT
• CFR China prices of feedstock ethylene USD 1245MT
• CFR South East Asia prices of feedstock ethylene USD 1190MT.
• Keiyo Ethylene is planning to shut its naphtha cracker on May 13, 2018 till July 2018 for a maintenance turnaround. It is located at Ichihara in Chiba prefecture of Japan, the cracker has a production capacity of 740,000 mt/year.
• Mitsui Chemicals is likely to shut its naphtha-fed steam cracker for a maintenance turnaround in mid-June 2018 until end-July 2018. It is based in Sakai, Japan, the cracker has an ethylene production capacity of 500,000 mt/year

 $1 = Rs. 67.33
 Import Custom Ex. Rate USD/ INR: 67.50
 Export Custom Ex. Rate USD/ INR: 65.80