According to the commodity market analysis system of SunSirs, polyester filament prices showed a stable and slightly rising trend at the beginning of the week.

From May 9 to 12, driven by the rise in international oil prices and polyester raw material costs, on May 10, chemical fiber giants such as Rongsheng Petrochemical continued to raise the prices of some products, with DTY and POY raised by 50 RMB/ton, and semi-gloss FDY raised by 50-100 RMB/ton. On May 12, the mainstream polyester filament factory in Jiangsu and Zhejiang quoted POY (150D/48F) at 6550-6750 RMB/ton, polyester DTY (150D/48F low elasticity) at 7800-8200 RMB/ton, and polyester FDY (150D/96F) at 6700-6900 RMB/ton.

In terms of cost, on May 9, international crude oil futures rose. The settlement price of the main contract of WTI crude oil futures in the United States was $61.02 per barrel, an increase of $1.11 or 1.9%. The settlement price of the main contract of Brent crude oil futures was $63.91 per barrel, an increase of $1.07 or 1.7%. Driven by the rise in crude oil prices, the prices of polymer raw materials (such as PTA and MEG) rose. As of May 9, the average market price in East China was 4,750 RMB/ton, up 3.63% from the beginning of the month. Directly push up the production cost of polyester filament.

In terms of supply and demand, the production and sales rate of polyester factories remained at 70-90% in early May. The production and sales rate of individual enterprises could reach 300%-1000% per day due to promotion, but the downstream willingness to stock up was low, and the purchase was mainly based on rigid demand. May is the traditional seasonal off-season, and the demand growth of downstream weaving enterprises may be limited. In addition, due to the low-price replenishment in the early stage, the downstream may enter the stage of digesting inventory in the short term, and the enthusiasm for purchasing polyester filament will decline. However, Zhejiang Petrochemical, Shenghong Refining and Chemical and other industry leaders have recently carried out equipment maintenance and capacity reduction, which will reduce market supply to a certain extent and support prices.

Macroeconomics: Starting from May 15, the central bank lowered the deposit reserve ratio of financial institutions, the policy interest rate was also lowered, and market liquidity increased, which theoretically boosted the price of polyester filament to a certain extent.

SunSirs predicts that in the short term, under the background of cost support and tightening supply, the price of polyester filament is expected to maintain a narrow range of fluctuations in the short term, or be stable and strong. However, if the orders in the textile and garment industry fail to increase significantly, the market may still face upward resistance.

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