Vinyl Acetate Monomer Weekly Report 15 April 2017

Weekly Price Trend: 10-04-2017 to 14-04-2017

• The graph above focuses on the Vinyl Acetate Monomer price trend for the current week.
• VAM prices improved significantly for in the starting of this week. In compare to last week’s closing values there has been rise in domestic prices.
• By end of the week prices were assessed around Rs.63.5/Kg for Kandla port andRs.64/Kg for Mumbai port.

Booking Scenario

The above chart shows the international prices for Vinyl Acetate Monomer. International prices of VAM reduced heavily for this week in compare to last Friday’s assessed level.

INDIA & INTERNATIONAL

• VAM prices were assessed at the level of Rs.63.5/Kg at Kandla and Rs.64/Kg for Mumbai ports, with slight decline in domestic values.
• CFR India values were assessed in the range of USD 910-930/MTS, with an increase of USD 70/MTS in compare to last week’s closing values.
• Severe volatility was observed in the crude prices for this week. Still the market sentiments by end of the week remained strong with prompting crude prices to close on higher note. Yesterday some stability was seen global oil market as demand and supply was on matching hand due to fall in the stockpiles in developed nations in the month of March.
• According to recent reports, the market has been oversupplied since last three years, prompting members of the OPEC and some non-OPEC producers to agree to cut output in the first six months of 2017 to rein in the glut. OPEC meets on May 25 to consider extending the cuts beyond June.
• On other side there has been continuous rise in oil production in U.S., both onshore and offshore, which will act as a headwind for the market.
• As per market analyst, refinery runs are picking up, and driving season is around the corner, so inventories will start going down soon. Amid so much uncertainty, the only thing that is certain is that crude oil production is growing, and there are no signs that this will change while the going is good and prices stay above $50 a barrel.
• On Thursday, closing crude values have increased.WTI on NYME closed at $53.18/bbl, prices have increased by $0.07/bbl in compared to last closing prices. While Brent on Inter Continental Exchange increased by $0.03/bbl in compared to last trading and was assessed around $55.89/bbl.

$1 = Rs. 64.41
Import Custom Ex. Rate USD/ INR: 65.90
Export Custom Ex. Rate USD/ INR: 64.2