Methanol Weekly Report 3 January 2020
Weekly Price Trend: 27-12-2019 to 03-01--2020
- The above graph focuses on the Methanol price trend for the current week. Prices remained firm throughout this week. Domestic prices were assessed at the level of Rs.18.75/Kg for bulk quantity by end of the week.
- By the end of the week prices were assessed around Rs 18.75/Kg for Kandla and Mumbai ports.
Booking Scenario
INDIA&INTERNATIONAL
- This week domestic market prices of Methanol have remained firm and stable throughout this week. There has been improvement in the demand sentiments. Prices in the domestic market were assessed at the level of Rs.18.75/Kg for bulk quantity.
- CFR India prices were assessed around USD 208/MTS, a rise of USD 8/MT for this week.
- CFR China prices were assessed around USD 211-231/MT, with an increase of USD 5/MT for this week.
- With ongoing winter season in Iran and other major methanol manufacturing nations there will be shortage in the supply of the Methanol as majority of units prefer to undergo maintenance in this duration due to shortage in the supply of natural gas. As it is more used for domestic purpose in this season.
- Prices in international market are likely to see an upward swing due to international crisis between Iran and USA. The crude has been now increasing post rise in tension between the two countries.
- Crude prices have been soaring up today as there has been tension growing between Iran and US. Brent crude futures jumped by close to $3 on Friday to their highest since September after a US air strike killed key Iranian and Iraqi military personnel, raising concerns that escalating Middle East tensions may disrupt oil supplies.
- The supply side risks remain elevated in the Middle East and we could see tensions continue to elevate between the U.S. and Iran-backed militia in Iraq.
- Oil prices still have room for further upside as many analysts still have to upgrade their demand forecasts to include a rather calm period on the trade front.
- On Thursday, closing crude values have increased. WTI on NYME closed at $61.18/bbl. Prices have increased by 0.12/bbl in compared to last closing prices. While Brent on Inter Continental Exchange is increased by 0.25/bbl in compare to last closing price and was assessed around $68.25/bbl.
- Canada based Methanex has posted its North American and Asian contract prices for the month of January 2020. Asian contract prices have been reduced by USD 20/MTS for this month. Prices posted for January 2020 were USD 275/MT while prices posted for North America is USD 342/MT.
$1 = Rs. 71.80
Import Custom Ex. Rate USD/ INR: 72.15
Export Custom Ex. Rate USD/ INR: 70.45
