The spot market in East china, PTA Trading at 01 yuan near -140/150 contract, warehouse price is slightly higher, at 01 yuan near -110/115 contract. The market sentiment, the market since the talks remain at 4570-4600 yuan; PTA dollar offer intention to remain at $610-630, bid intention near 600-605 trading market remain at $605-608 near trading co..

PTA futures premium spot futures price is restrained, September delivery, PTA registered warehouse receipts rose sharply. Because the market bearish outlook, receipts increased significantly only, and that the market sell-off is heavy, PTA prices to unilateral upward, it is not easy.

In the past PTA dilemma:

1 serious excess capacity, PTA Prices always focus on the cost of operation, the cost of change PTA The price trend is particularly important. The price of PX * 1.17 * 1.02 VAT import tariffs * production ratio of 0.655+ freight 100 yuan / ton, can be calculated. PTA The cost of raw materials (except throwing artificial cost, viewed as a variable cost).

2 PX upstream price edged, Asia overnight CFR offer 802 U.S. dollars / ton (+1), with PTA The spot price and variable cost difference found that the difference in 400 yuan / ton, at a very low level. This means that, on the basis of the cost, PTA Decline in the price of space is very limited.

3 downstream polyester plant started relatively stable, maintained at more than 80%, and the downstream polyester plant overall product inventory is low. Overall, October PTA Supply and demand improved, market is still in the inventory level, supply and demand better.