Mixed Xylene Weekly Report 07 July 2018

Weekly Price Trend: 02-07-2018 to 06-07-2018

• The above given graph focuses on the Mixed Xylene price trend for the current week.
• Domestic prices ofMixed Xylene remained weak for this week. Prices were assessed at the level of Rs.58/Kg for Mumbai and Rs.57.5/Kg for Kandla port.

Booking Scenario

INDIA

• Mixed Xylene prices were assessed around Rs.58/Kg at Kandla port and Rs. 57.5/Kg for Mumbai port.
• International prices of Isomer grade Mixed Xylene remained firm for this week. Prices were assessed in the range of USD 820-840 increased by USD 10/MTS in compares to last week’s closing values.
• CFR SEA values were assessed in the range of USD 835-855/MTS increased by USD 10/MTS in compare to last week’s closing values.
• China based Hengli Petrochemicals is planning to test one of its two new units for Para Xylene in the month of November. The new unit is based at Dalian in Liaoning province of China and ha the production capacity of 20 mln mt/year. Both lines have a production capacity of 2.25 million mt/year. The second line is expected to start in the first or second quarter of 2019.
• Hengli is one of China's, and the world's, largest producers of purified terephthalic acid, with three plants at Dalian totaling 6.6 million mt/year in production capacity. PX is used to produce PTA.
• Moreover monsoon has started in India. The western part of India is receiving heavy rainfall which in turn has led to slowdown in imports along with limited supply.
• In monsoon season the end consumer prefers limited material as most of the work gets affected due to heavy rainfall and stocking issue and other limited supply from importer.
• This week oil prices have followed volatile trend. On Thursday Oil fell after U.S. President Donald Trump demanded OPEC cut crude prices, but the market found some support from an Iranian threat to block shipments through the Strait of Hormuz.
• On Thursday, closing crude values have plunged. WTI on NYME closed at $72.94/bbl; prices have plunged by $1.20/bbl in compared to last closing prices. While Brent on Inter Continental Exchange plunged by $ 0.37/bbl in compare to last closing price and was assessed around $77.39/bbl.
• OPEC and Russia said in June they were willing to raise output to address concerns of supply shortages due to unplanned disruptions from Venezuela to Libya, and likely also to replace a potential fall in Iranian supplies due to U.S. sanctions. Despite these measures, Goldman Sachs said to client that "the market will remain in deficit" in the second half of the year.

$1 = Rs. 68.87
Import Custom Ex. Rate USD/ INR: 69.70
Export Custom Ex. Rate USD/ INR: 68.00