NWE Styrene – Spot prices rise as market seeks forward cargoes

Chemical Industry

– May trades at $1,133/mt

– Chinese stocks decline

European spot styrene rose Thursday as market participants sought to secure volumes for forward deliveries. S&P Global  assessed styrene for loading 5-30 days forward at $1,133.50 /mt FOB ARA, up $4.50/mt on the day. A trade was heard at $1,133/mt FOB ARA for May loading. Buy interest was again the talking point as global turnarounds continue to halt supply. A trader said May traded several times. As trading moved to forward months, a source said there was still interest for prompt cargoes following April trades Thursday and Thursday. “April still has some demand so [it] is pretty strong,” a broker said. Upstream, the European benzene market surged following news of trades for both May and April. A deal was heard done at $765/mt for April and $725/mt for full-May. In Asia, styrene rose $9/mt on the day to $1,062/mt CFR China and $1,022/mt FOB Korea Thursday. According to market sources, total styrene stocks in east China fell 23,000 mt on the week to 227,000 mt. Consumption at 38,000 mt outstripped arrivals of 15,000 mt.

RATIONALE:

S&P Global  assessed styrene for loading 5-30 days forward at $1,133.50/mt FOB ARA Thursday, up $4.50/mt on the day. April was assessed at $1,135/mt, up $5/mt on the day, based on a stable $2/mt backwardation to May. May was assessed at $1,133/mt, up $5/mt on the day, in line with earlier trade at $1,133/mt.

 

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