Ethylene buying offers for March futures reached US $1070 per metric ton mark, despite sellers showing no interest at that level in the Asian markets, today.
But buyers contend that lowering of energy prices may help sellers take their offers soon.
Prices were down last week in the North East Asian region on account of poor post-lunar period in China.
Meanwhile, already weak markets of South East Asia had sluggish undertones where buyers were among far and few for polyethelene prices remained narrow coupled with energy prices going low that led buyers in region to place lower bids in the entire petrochemical product range.
Ethylene prices last week were down by $100 per metric ton CFR in North East Asia over the previous week and will impact the downstream sector product prices.
But this week and further, a turnaround is likely to begin across Asia as force major in certain companies will tighten the product avails in Asia says sellers that will race the buyer to bid higher while lifting stocks.
Meanwhile, sources inform that a maintenance shutdown will take place at Nan Ya's No 2 MEG facility in Mailiao, Taiwan having 300 kilo ton per annum output capacity in April for about three weeks.
marketing@alchempro.com
