Market Overview - On June 26, PTA futures experienced fluctuations, with the spot market showing general negotiations and a weakening basis. The trading range for this week and next week is between 09+255 to 265, with some transactions slightly lower, and the price negotiation range is around 4990 to 5050 [1] - The main spot basis is at 09+259 [1] Cost Analysis - As of June 26, the PTA spot processing fee is approximately 408 yuan/ton, while the TA2509 market processing fee is 367 yuan/ton [2] Supply and Demand Dynamics - Supply: This week, Yisheng New Materials reduced its operating load to 360,000 tons, resulting in PTA load dropping to 77.7% (-1.4%) by Thursday [3] - Demand: A nearby unit is undergoing maintenance, and a bottle chip factory is implementing production cuts, leading to a slight decrease in polyester load to around 91.2% (-0.8%). The operating rates for weaving, knitting, and dyeing in Jiangsu and Zhejiang have slightly adjusted, with rates at 76% (-1%), 66% (+1%), and 67% (-1%) respectively. Orders in the grey fabric sector have shown slight improvement, particularly in the Haining area, although feedback from other regions remains relatively weak. Concerns over escalating Middle East tensions have led to some replenishment in downstream polyester filament, but after the reduction of oil prices due to the dissipating geopolitical factors, raw material prices have fallen, leading to discounts in filament prices. Currently, downstream raw material inventory is primarily at 7-15 days, with sporadic high inventory levels at 20-30 days [3] Market Outlook - Despite maintenance at Fuhai Chuang and Hengli facilities, the expectation for PTA supply and demand is weakening due to the commissioning of new facilities, limited future maintenance plans, and continuous signals of production cuts from downstream polyester factories. The overall demand remains weak, leading to a sustained decline in terminal load. The limited driving force from oil prices suggests that PTA will experience limited upward momentum in the short term, with fluctuations expected to remain within the 4600-4900 range. A cautious approach is recommended for TA trading strategies [4]