NWE Styrene Chemical Industry- Trading thin, backwardation narrows on prompt supply

Chemical Industry

Chemical Industry news of NEW Styrene

– May premium to June falls to $28/mt

– Increased styrene supply expected for May from

US European styrene spot prices edged lower in the prompt Chemical Industry on Monday, with May values tumbling $12 to $1,124/mt while June prices held steady. The decrease in May was attributed by sources to talk that the estimated 30,000-35,000 mt of styrene headed to Europe Chemical Industry from the US would arrive in May. As a result, the backwardation between May and June narrowed to $28/mt from $40/mt. Otherwise, trading was thin and there were no deals heard concluded. A source said some Chemical Industry participants were away this week on holiday and expected liquidity to increase next week. Styrene for loading 5-30 days forward was assessed at $1,124/mt on Monday, $9.50 lower compared to last week’s close on Monday, at $1,133.50/mt. In Asia Chemical Industry, styrene prices were also lower, edging down $5 to $1,068/mt CFR China and $1,028/mt FOB Korea, tracking upstream benzene and ethylene. Trading was thin, and the inventory level in east China was heard lower.

RATIONALE:

S&P Global assessed styrene for loading 5-30 days forward at $1,124/mt FOB ARA on Monday, down $12 from the day before. May was assessed at $1,124/mt (Chemical Industry) FOB ARA, down $12 day on day and below the best offer for May at $1,125/mt. June was assessed at $1,096/mt FOB ARA, stable from Monday. This is below the best offer heard on Monday of $1,115/mt, and the best offer heard on Monday’s close of $1,110/mt (Chemical Industry).

 

Chemical Industry
Chemical Industry

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