– Stable domestic market
– Venezuela disruption may prompt more buying
The European daily methanol price was assessed up Eur3/mt to Eur270/mt FOB Rotterdam for the 5-30 day laycan Wednesday. On the week, the price was down Eur7.50/mt, however, after spot market activity softened in the days following the industry-settled second quarter methanol contract price being agreed at a rollover of Eur350/mt. The market saw a slight uptick in activity on Wednesday following a slow start to the week. A deal was heard at Eur270/mt early Wednesday. Overall, the market in Europe was heard to be relatively stable and as a result, attention was turned to other parts of the world and their potential impact on the European market. One trader said that while little change could be expected in the European market in April, the situation in Venezuela — already encouraging buying activity in Europe — remains unclear and may have a further impact.
S&P Global assessed the FOB Rotterdam 5-30 day spot price up Eur3/mt on the day to Eur270/mt Wednesday. Mid-April was assessed at Eur270/mt, in line with a deal and within a bid-offer range heard at Eur268-272/mt. Mid-May was assessed at Eur271/mt, Eur1/mt below the offer and in a bid-offer range heard at Eur268-272/mt. A structure in contango with a daily increase of Eur0.037/mt was drawn between the two dates and extended to remaining laycan dates.