Aluminium was last $5 lower at $2,489. Stocks dropped 7,950 tonnes to 4,404,225 tonnes ahead of ‘Third Wednesday’. Cancelled warrants - the metal booked for removal - fell 4,225 tonnes to 371,375 tonnes.
Copper inventories rose a net 925 tonnes to 462,950 tonnes, although cancelled warrants rose 1,500 tonnes to 21,575 tonnes.
Nickel, which had hit its highest since May 19 at $24,499 on Friday, lost $365 to $23,790. Inventories fell to a new low since March 2009 at 102,354 tonnes after an 840-tonne drop and cancelled warrants fell 708 tonnes.
Zinc was $52 higher at $2,427. Cancelled warrants rocketed 36,275 tonnes or 93.3 percent to 75,175 tonnes, with activity focused on New Orleans, while stocks fell 4,050 tonnes to 887,300 tonnes.
Lead, at $2,732, was $24 higher, while tin fell $100 to $27,100.
Steel billet was indicated at $565/585 versus $565/575 at Friday’s close. Cobalt lost $500 to $34,000/36,000 and molybdenum was at $32,300/36,500.
Monday, July 18, 2011
steel billet prices, metal prices
Aluminium was last $5 lower at $2,489. Stocks dropped 7,950 tonnes to 4,404,225 tonnes ahead of ‘Third Wednesday’. Cancelled warrants - the metal booked for removal - fell 4,225 tonnes to 371,375 tonnes.
Copper inventories rose a net 925 tonnes to 462,950 tonnes, although cancelled warrants rose 1,500 tonnes to 21,575 tonnes.
Nickel, which had hit its highest since May 19 at $24,499 on Friday, lost $365 to $23,790. Inventories fell to a new low since March 2009 at 102,354 tonnes after an 840-tonne drop and cancelled warrants fell 708 tonnes.
Zinc was $52 higher at $2,427. Cancelled warrants rocketed 36,275 tonnes or 93.3 percent to 75,175 tonnes, with activity focused on New Orleans, while stocks fell 4,050 tonnes to 887,300 tonnes.
Lead, at $2,732, was $24 higher, while tin fell $100 to $27,100.
Steel billet was indicated at $565/585 versus $565/575 at Friday’s close. Cobalt lost $500 to $34,000/36,000 and molybdenum was at $32,300/36,500.
Copper inventories rose a net 925 tonnes to 462,950 tonnes, although cancelled warrants rose 1,500 tonnes to 21,575 tonnes.
Nickel, which had hit its highest since May 19 at $24,499 on Friday, lost $365 to $23,790. Inventories fell to a new low since March 2009 at 102,354 tonnes after an 840-tonne drop and cancelled warrants fell 708 tonnes.
Zinc was $52 higher at $2,427. Cancelled warrants rocketed 36,275 tonnes or 93.3 percent to 75,175 tonnes, with activity focused on New Orleans, while stocks fell 4,050 tonnes to 887,300 tonnes.
Lead, at $2,732, was $24 higher, while tin fell $100 to $27,100.
Steel billet was indicated at $565/585 versus $565/575 at Friday’s close. Cobalt lost $500 to $34,000/36,000 and molybdenum was at $32,300/36,500.
Thursday, July 14, 2011
PET prices, PBT prices, EVA prices, LDPE prices
Celanese Corporation’s (NYSE:CE) Ticona engineering polymers business announced an increase in prices of Celanex PBT, Vandar PBT, Impet PET and Riteflex TPC-ET polyesters in the Americas and Europe, effective July 29.
For the Americas, Ticona engineering indicated a price increase of $0.15 per pound, while for Europe it indicated an increase of €0.25 per kilogram.
Effective August 1, 2011, Celanese’s subsidiary Celanese EVA Performance Polymers Inc., is also increasing the price of all grades of Ateva EVA by $0.08 per pound and all grades of LDPE by $0.06 per pound.
For the Americas, Ticona engineering indicated a price increase of $0.15 per pound, while for Europe it indicated an increase of €0.25 per kilogram.
Effective August 1, 2011, Celanese’s subsidiary Celanese EVA Performance Polymers Inc., is also increasing the price of all grades of Ateva EVA by $0.08 per pound and all grades of LDPE by $0.06 per pound.
Monday, July 11, 2011
LDPE, HDPE, PE prices
New York (Platts)--5Jul2011/634 pm EDT/2234 GMT
US polyethylene contracts for June have settled down at least 2-4 cents/lb ($44-$88/mt) depending on the grade, several sources said Monday.
"Producers stuck close to the ExxonMobil letter," a source said.
ExxonMobil sent a letter to its customers June 24 announcing it would decrease the June price for its LDPE and LLDPE resins 4 cents/lb, while cutting its HDPE resins by 2 cents/lb.
There had been talk that the letter merely set the tone for negotiations and buyers would be able to negotiate more of a decrease. While there was unconfirmed talk of further concessions, several buyers said they had only seen decreases by the amount nominated by ExxonMobil.
The decrease in PE was 0.25-2.25 cents/lb more than the decrease in the June ethylene contract that fell 1.75 cents/lb to 56.75 cents/lb.
The fall in spot PE prices has been more dramatic than for contract prices.
The LLDPE spot export price decreased 8 cents/lb over June and was assessed July 1 by Platts at 59-60 cents/lb FAS Houston. Spot LDPE over the same period was down 10.5 cents/lb at 68-69 cents/lb.
For July, buyers and sellers held widely differing views on how the market would evolve. Producers have a 5 cents/lb price increase on the table, while buyers are looking for another round of decreases.
US polyethylene contracts for June have settled down at least 2-4 cents/lb ($44-$88/mt) depending on the grade, several sources said Monday.
"Producers stuck close to the ExxonMobil letter," a source said.
ExxonMobil sent a letter to its customers June 24 announcing it would decrease the June price for its LDPE and LLDPE resins 4 cents/lb, while cutting its HDPE resins by 2 cents/lb.
There had been talk that the letter merely set the tone for negotiations and buyers would be able to negotiate more of a decrease. While there was unconfirmed talk of further concessions, several buyers said they had only seen decreases by the amount nominated by ExxonMobil.
The decrease in PE was 0.25-2.25 cents/lb more than the decrease in the June ethylene contract that fell 1.75 cents/lb to 56.75 cents/lb.
The fall in spot PE prices has been more dramatic than for contract prices.
The LLDPE spot export price decreased 8 cents/lb over June and was assessed July 1 by Platts at 59-60 cents/lb FAS Houston. Spot LDPE over the same period was down 10.5 cents/lb at 68-69 cents/lb.
For July, buyers and sellers held widely differing views on how the market would evolve. Producers have a 5 cents/lb price increase on the table, while buyers are looking for another round of decreases.
Sunday, July 03, 2011
butadiene prices
There were signs of a possible slowdown in the Northwest European butadiene market as market sources reported softening demand, improved supply and increased resistance to record high price levels Thursday.
The global butadiene market has spiked considerably since early March, where tight supply in the US Gulf Coast and Europe has supported a series of steep price increases.
According to market sources spot trade has recently been done in Europe as high as $4,900/mt FOB NWE, with the majority of producers currently offering limited spot product at $5,000/mt or above.
Many sources are now of the view that current prices are the peak of market, which has climbed by $3,090/mt in spot terms and Eur1,160/mt ($1,680/mt) in the contract market over 2011 to date.
This has mainly been fueled by a shortage of butadiene feedstock crude C4 and subsequently finished butadiene in the US Gulf Coast. Cracker economics in the US support the use of ethane as a feedstock, which in turn yields a lower level of crude C4.
One consumer believed that the market was set to fall, however, citing several negative factors including improved European supply and demand erosion as a result of the price spike.
The consumer said that supply in Europe had improved -- a view supported by the appearance of more producers in the spot market.
"The spot market has become much longer. I'm being offered spot product from all European producers now," the consumer said.
There have also been reports in the market of European consumers being offered a discounted spot price compared to traders looking to buy for export, something that was not seen in the market in March, April and May, when supply in Europe was at its tightest.
One source said that although many sellers have continued to look for $5,000/mt FOB, there had been "some proposals below $4,600/mt."
Demand in Europe is also said to be falling as certain downstream sectors have struggled to absorb the sharp rise in butadiene prices.
One producer acknowledged this situation and said: "There has been some fall in demand, but I think it is still marginal and we haven't seen a fall in contract nominations. Some segments like latex or acrylonitrile-butadiene-styrene have reduced buying."
Buyers added that domestic demand was likely to reduce in some sectors -- styrene-butadiene-rubber and nylons -- going forward, because of problems further downstream, where consumer buying has slowed down.
One consumer said: "As a buyer, we can see that demand will drop. Whether that comes in July, August or September I don't know. But for Q4 we will definitely see a dip in demand."
As spot levels were poised to hit $5,000/mt for incremental European tonnes, sources also believed this would discourage buyers. Something that had previously not been the case according to consumers and traders.
A trader said: "People are becoming more careful now. We've reached a level on spot where it stops making sense to buy incremental tonnes. You're better off just not doing it."
The trader continued: "There is a sentiment now that says prices have to fall. There is no longer the feeling that if you don't buy today, prices will be higher tomorrow. August should be weaker."
One source needing to buy July spot volume said that the current offer levels had led to "a lot of discussion going on internally". The source continued: "Any product we buy now, will go into finished products for sale in September [where downstream demand is expected to be lower.]"
In addition to an apparent slowdown in domestic buying, sources also questioned whether the demand from the US Gulf Coast for imports from Europe would remain.
According to one trader there was "still interest in volume in the US, but price-wise its more difficult to work."
A second trader elaborated on this and said: "At present, we don't see people willing to pay 240 cents/pound in the US, which would justify $5,000/mt.
"It's still very dangerous to export to the US, because at these prices we could see big percentage falls in price. If we buy 1,000 mt at $5,000/mt in Europe and can only sell at $4,600/mt, that's a $400,000/mt loss. There are few traders who can absorb that."
Others believed that following a consistent flow of product over the year, plus improved potential supply from Asia to the region demand in the US was getting satisfied. One source even believed that when the latest round of imports hit the US in July "the US will be full."
The trader felt however that "economics in the US are for continued cracking of ethane, which should mean that the market there stays very tight." He added that this should maintain some "need for product" in the Gulf coast.
On the production side in Europe although the market was seen as less tight than the US, there were still concerns over domestic supply of both butadiene and feedstock crude C4.
Producers added that supply could tighten further over the summer as cracker rates have been reduced because of low demand in the polyethylene sector. The preference for cracking LPG's such as butane over summer would also restrict crude C4 yields sources acknowledged.
--David Potter, david_potter@platts.com
The global butadiene market has spiked considerably since early March, where tight supply in the US Gulf Coast and Europe has supported a series of steep price increases.
According to market sources spot trade has recently been done in Europe as high as $4,900/mt FOB NWE, with the majority of producers currently offering limited spot product at $5,000/mt or above.
Many sources are now of the view that current prices are the peak of market, which has climbed by $3,090/mt in spot terms and Eur1,160/mt ($1,680/mt) in the contract market over 2011 to date.
This has mainly been fueled by a shortage of butadiene feedstock crude C4 and subsequently finished butadiene in the US Gulf Coast. Cracker economics in the US support the use of ethane as a feedstock, which in turn yields a lower level of crude C4.
One consumer believed that the market was set to fall, however, citing several negative factors including improved European supply and demand erosion as a result of the price spike.
The consumer said that supply in Europe had improved -- a view supported by the appearance of more producers in the spot market.
"The spot market has become much longer. I'm being offered spot product from all European producers now," the consumer said.
There have also been reports in the market of European consumers being offered a discounted spot price compared to traders looking to buy for export, something that was not seen in the market in March, April and May, when supply in Europe was at its tightest.
One source said that although many sellers have continued to look for $5,000/mt FOB, there had been "some proposals below $4,600/mt."
Demand in Europe is also said to be falling as certain downstream sectors have struggled to absorb the sharp rise in butadiene prices.
One producer acknowledged this situation and said: "There has been some fall in demand, but I think it is still marginal and we haven't seen a fall in contract nominations. Some segments like latex or acrylonitrile-butadiene-styrene have reduced buying."
Buyers added that domestic demand was likely to reduce in some sectors -- styrene-butadiene-rubber and nylons -- going forward, because of problems further downstream, where consumer buying has slowed down.
One consumer said: "As a buyer, we can see that demand will drop. Whether that comes in July, August or September I don't know. But for Q4 we will definitely see a dip in demand."
As spot levels were poised to hit $5,000/mt for incremental European tonnes, sources also believed this would discourage buyers. Something that had previously not been the case according to consumers and traders.
A trader said: "People are becoming more careful now. We've reached a level on spot where it stops making sense to buy incremental tonnes. You're better off just not doing it."
The trader continued: "There is a sentiment now that says prices have to fall. There is no longer the feeling that if you don't buy today, prices will be higher tomorrow. August should be weaker."
One source needing to buy July spot volume said that the current offer levels had led to "a lot of discussion going on internally". The source continued: "Any product we buy now, will go into finished products for sale in September [where downstream demand is expected to be lower.]"
In addition to an apparent slowdown in domestic buying, sources also questioned whether the demand from the US Gulf Coast for imports from Europe would remain.
According to one trader there was "still interest in volume in the US, but price-wise its more difficult to work."
A second trader elaborated on this and said: "At present, we don't see people willing to pay 240 cents/pound in the US, which would justify $5,000/mt.
"It's still very dangerous to export to the US, because at these prices we could see big percentage falls in price. If we buy 1,000 mt at $5,000/mt in Europe and can only sell at $4,600/mt, that's a $400,000/mt loss. There are few traders who can absorb that."
Others believed that following a consistent flow of product over the year, plus improved potential supply from Asia to the region demand in the US was getting satisfied. One source even believed that when the latest round of imports hit the US in July "the US will be full."
The trader felt however that "economics in the US are for continued cracking of ethane, which should mean that the market there stays very tight." He added that this should maintain some "need for product" in the Gulf coast.
On the production side in Europe although the market was seen as less tight than the US, there were still concerns over domestic supply of both butadiene and feedstock crude C4.
Producers added that supply could tighten further over the summer as cracker rates have been reduced because of low demand in the polyethylene sector. The preference for cracking LPG's such as butane over summer would also restrict crude C4 yields sources acknowledged.
--David Potter, david_potter@platts.com
Saturday, July 02, 2011
HDPE Prices, LDPE prices, LLDPE prices
New York (Platts)--29Jun2011/441 pm EDT/2041 GMT
US polyethylene prices were set to decrease in June, with the only question being how much, industry sources said Monday.
ExxonMobil announced it would decrease the price for its June shipments HDPE resins by 2 cents/lb, while LDPE, LLLDPE are to be down 4 cents/lb, according to a company letter obtained by Platts.
ExxonMobil's announcement was seen as setting the stage for further negotiations, sources said, instead of the final word on contracts.
"I've heard a few companies will follow ExxonMobil," a supplier said.
Buyers, however, likely will seek a further decrease.
"This is just the beginning (of negotiations)," a buyer said.
Domestic prices have risen roughly 11 cents/lb from the beginning of 2011, and producers were trying to raise prices another 5 cents/lb in June. But with global demand slow, US PE makers are being forced to decrease prices.
"My buyers haven't bought anything in June," a distributor said.
The decrease in PE came at the same time spot ethylene prices have begun a steep decline. Spot ethylene is down 10 cents/lb ($220/mt) from a week ago to 53.75 cents/lb FD USG.
US polyethylene prices were set to decrease in June, with the only question being how much, industry sources said Monday.
ExxonMobil announced it would decrease the price for its June shipments HDPE resins by 2 cents/lb, while LDPE, LLLDPE are to be down 4 cents/lb, according to a company letter obtained by Platts.
ExxonMobil's announcement was seen as setting the stage for further negotiations, sources said, instead of the final word on contracts.
"I've heard a few companies will follow ExxonMobil," a supplier said.
Buyers, however, likely will seek a further decrease.
"This is just the beginning (of negotiations)," a buyer said.
Domestic prices have risen roughly 11 cents/lb from the beginning of 2011, and producers were trying to raise prices another 5 cents/lb in June. But with global demand slow, US PE makers are being forced to decrease prices.
"My buyers haven't bought anything in June," a distributor said.
The decrease in PE came at the same time spot ethylene prices have begun a steep decline. Spot ethylene is down 10 cents/lb ($220/mt) from a week ago to 53.75 cents/lb FD USG.
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