Scarce demand leads to absence of deals in acrylonitrile markets globally

20-Aug-08

Weak buyer sentiments prevented conclusion of deals and kept acrylonitrile markets across the globe limp. As global oil and feedstock markets continue to decline, Asian buyers are in no hurry to conclude deals in anticipation of a further price down revision. Barely any transactions were heard concluded in Asia on buyers disinterest notwithstanding offers from sellers as low as US$2350/MT CFR Asia. Indian markets are swamped with cargoes from Europe, Russia, S. Korea and the USGC. Spot cargoes for September delivery was being offered at lows of US$2040 and highs of US$2070 CFR India- but have not found any takers. Infact, demand is anticipated to wane further in India as domestic downstream nitrilon plants plan to be shuttered this month. European markets were also deficient in transactions, with lack of concluded deals in spot acrylonitrile market- on lackluster buyers demand at the onset of weak downstream nitrilon demand.