Benzene prices up in US, down in Europe & Asia

09 Dec '10

2 min read

Asian benzene closed at US $973-974/ ton (FOB Korea) and $963 -964/ ton (FOB Southeast Asia) on December 8, down $4 / ton, influenced by decline of crude oil and naphtha prices.

50,000 tons of benzene will be shipped to United States market in December; arbitrage between the two markets has once again opened and negotiation for 2011 January cargo has started.

Offers for February cargo fell from $1,000 to $990 / ton on the day, counteroffers were at $975 / ton. Talking level for March shipments was at $985-995/ ton.

Offers for January cargo were at $979 / ton, but no transaction was reported.

December pure benzene supply in the United States rose 1 cent to close at 361.05-361.15 cents / gallon (FOB U.S. Gulf) on December 8; January supply gained 2 cents to close at 349.05-349.15 cents / gallon. Inquires and offers of December supplies were at 371 cents / gallon and 356 cents / gallon, respectively.

It was reported that supply of the first half in January was offered at 350-365 cents / gallon. Trade level of January shipment was 345-355 cents / gallon. Market participants looked more optimistic about the market in December, as supply was light.

European benzene prices fell on Wednesday, of which FOB Rotterdam closed at $1017.5-1018.5 / ton, down $4.75 / ton; CIF ARA closed at $1007.25-1008.25 / ton, down $5.25 / ton.

Trading level for December supply ranged between $1003.5-1016.5 ton (CIF ARA) on the day, as there was existing deferred fee. Offers for January supply stood at $1,031.5 / ton, inquiries were at $1,018.5 / ton. Buying interest was poor in the market and no actual transaction was reported.

Fibre2fashion News Desk

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