SunSirs: Contradiction between Supply and Demand Intensifies, China’s PTA Futures Daily Limit

　　The domestic futures market opened on July 22, and the main PTA futures contract had a strong daily limit at 5330 yuan/ton, an increase of 5.00%.

　　In the spot market, the average price of PTA in the spot market was 5,361 yuan/ton, an increase of 3.46% from the previous day and a year-on-year increase of 51.83%.

　　From the perspective of supply and demand, the demand for polyester remains low in the off-season under high temperature, and the operating rate is close to 90%. The maintenance of the PTA device remained at a high level, and the recent typhoon weather in East China affected its transportation, which intensified the contradiction between supply and demand in some areas in the short term. At the same time, oil prices stabilized and rebounded, and support from the support side increased, leading to a sharp rise in the PTA market.

　　It is expected that the short-term PTA will continue to fluctuate upwards, but still need to pay attention to the oil market dynamics and be wary of the risk of price fall after typhoon weather speculation.