Viscose Market Summary (Jun 1-15, 2011)
Cotton linter price rebounded on rising cotton price but trades were thin. Later, weak cotton and VSF performance posed negative impact on cotton linter market and the price declined again.
Cotton linter pulp market was dull since VSF plants with heavy losses showed low buying interest and it was hard for pulp mills to collect back capital. Major dissolving pulp suppliers stopped offering despite a few offers at $1800/mt in mid-Jun.
VSF offers were revised up before Dragon Boat Festival, which were not widely accepted by downstream sector. The industry meeting in Shandong called for price stabilization but the impact was expected to be minimal. Rayon yarn price kept downtrend.
VFY market continued to be dreary with falling offers. The selling pressure is still big and downstream demand will shrink due to power ration in Jun and Jul, so the market will keep consolidating amid soft appearance in short run.
Cotton linter pulp market was dull since VSF plants with heavy losses showed low buying interest and it was hard for pulp mills to collect back capital. Major dissolving pulp suppliers stopped offering despite a few offers at $1800/mt in mid-Jun.
VSF offers were revised up before Dragon Boat Festival, which were not widely accepted by downstream sector. The industry meeting in Shandong called for price stabilization but the impact was expected to be minimal. Rayon yarn price kept downtrend.
VFY market continued to be dreary with falling offers. The selling pressure is still big and downstream demand will shrink due to power ration in Jun and Jul, so the market will keep consolidating amid soft appearance in short run.
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