Oil prices will be much more volatile in 2017

SEATTLE (polymers.in):  - Customs data released on January 13 showed Chinese imports of crude reached 36.38 million MT in December, or 8.57 million bbl/day.

Oil prices will be much more volatile in 2017
- Global oil prices will witness much more volatility in 2017.
- Although the OPEC agreement could signal higher oil prices, it would also encourage more production from the US and elsewhere. 

IMF Slashes Saudi Arabia Growth Forecast on Lower Oil Output
- Gross domestic product will expand 0.4% in 2017.
- Saudi Arabia is planning to borrow as much as USD 15 billion this year on international debt markets to help fund its spending plans, following last year’s USD 17.5 billion  sovereign bond sale.
- Saudi Arabia estimates growth fell to 1.4% in 2016. 

Oil Rises as Saudis See Market Balanced by June, US Rigs Drop
- Futures rose 0.5% in New York after losing 3% last week.
- Rigs targeting crude in the US fell for the first time in 11 weeks.
- WTI for February delivery gained 27 cents to USD 52.64/bbl.
- Brent for March settlement rose 41 cents or 0.7% to USD 55.86. 

OPEC’s oil output gamble set to face reality as speculative buying peaks
- Oil prices have been on a wild ride over the past year.
- According US EIA, US oil production was down 4.5% in December versus 2015.

Polyethylene Buyers in Europe are willing to accept the price increase in January at EUR45 per tonne
- PE buyers in Europe are willing to accept the price increase in January at EUR 45/MT. 

Europe , PET , PX , Russia - prices PX Europe
- The contract prices of PX in Europe for deliveries in January had been finalized in the range of EUR 815 - 820/ton.
- Russian PET spot prices were announced in the corridor 78,000 - 83,000 rubyu/MT.

Trump’s Yuan Mistake And A New Global Debt Crisis
- Exports as a driver of economic growth are becoming less and less important as wages rise.
- Investors have become convinced that the Chinese currency will further weaken, leading to a more capital flight as a hedge against this weakness. 

Naphtha crack in Asia dips after near 16% spike
- Naphtha crack in Asia dipped by 5% at the end of the previous week to USD 105.6/ton after spiking by almost 16% in the previous session to a one-year high.
- European naphtha shipments to Asia for February arrival were 40% lower when compared to January. 

Asia PTA market sentiment bullish ahead of Lunar New Year - Asia PTA
- Asia’s PTA market is expected to hold steady in January amid stable to firm demand from China and India.
- Key producers have been purchasing spot CNY denominated volumes of 10,000 to 30,000 MT each week for the past three weeks. 

Polymers Supply
Pennsylvania township OKs USD 6 billion ethane cracker plant
- Supervisors of a western Pennsylvania township have granted a condition use permit for a USD 6 billion PET by Shell Chemicals.

Courtesy: www.polymers.io