Since late Sep, direct-spun PSF has experienced intense fluctuation

Last increase was attributed to the factors below: Firstly, driven by the expected inflation, hot speculation happened to the improvement of the pandemic and the recovery of demand, leading to general rise of commodities; secondly, after the list of PSF futures, the basis was high, favorable for spot-futures traders to stock up. During Nov-Feb, many trades were done by locking basis, and the sales ratio of direct-spun PSF plants seemed good. It attracted a large amount of capital to take part in, pushing up PSF futures further. In Feb-Mar, the increase in PSF was far more than that in PTA and MEG and the cash flow also reached 1,000yuan/mt. But in fact, the inventory held by traders was accumulated quickly. It can be seen that this wave of increase was more from inflation sentiment and purchasing of spot-futures traders.