Weekly Report On Viscose Staple Fiber (9/19-9/23)
Viscose staple fiber price is generally slightly increased. The major plants increased the price to 19900-20300CNY, but there are few orders placed at the new price. Now the main strike price is around 19900CNY, increasing by 100CNY than that of last week. Production and consumption rate is low, and the after market is hard to forecast, thus most buyers holds a rational attitude on procurement.
Early of the week, viscose staple fiber price slightly increased with the boost of upstream feedstock price increase. Cotton price has kept a stable increase for the government acquisition. But its real turn over is still low, which forms a curb to viscose staple fiber. Now viscose plants are mostly carrying out the previous orders, and scarcely new orders. In the second half of the week, viscose staple fiber price kept stable.
On upstream, linter cotton price tend to rise. Shandong linter price increased for the influence of a bad weather, but its turnover changes little, comparing with that of last week. Now linter cotton quotation is around 5500CNY, and long plush cotton is quoted around 5800CNY. New linters have been started to process, but the new linter quality is not good with its price offered at 5000-5500CNY. According to the report that new linter will come into the market in October. As for cotton pulp, its price has kept stable this week. But its turnover is just on average. Downstream procurement is mostly buy in according to needs. New orders’ volume is not large. Now the first grade cotton pulp is offered at 12500CNY/t, and the strike price is at or above 12000CNY.
On downstream, cotton spots price continue to rise in the week. For the impetuous of government acquisition, cotton price increased for days in a line. Now, 328 grade cotton is offered at 19995CNY, which increased 200CNY, comparing with that of last week. As for rayon yarn, the price is slightly increased. Now downstream plants are mostly encounter with financial difficulties, in order to ensure a financial circulation, they buy in material prudently. Now 30S for woven is offered at 25000CNY, keeping the line with that of last week.
To sum up, yarn enterprises are mostly facing a dull busy season, and for viscose staple fiber plants, they are trying to absorb the stock, but mostly are still carrying out the former orders. It is expected that after the national holiday, some plants stock will be increased. Market procurement is universally overwhelmed with wait and see attitude, in the near future, viscose staple fiber is likely to fluctuate in a small range.
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