Naphtha in Asia at its lowest in about 11 months

22-Nov-11

Naphtha price in Asia was at its lowest in about 11 months on weaker Brent crude, as limited spot buying interest from Japan and Taiwan continued to put pressure on cracks and timespreads, as per Reuters. Japanese exports fell at the fastest pace in five months in the year to October, a worse-than-expected result. Its exports to China, Japan's largest trading partner, slumped an annual 7.7%, posting their biggest decline since May. India is not expected to cut exports for December as refineries are running at high rates to capitalise on the strong diesel market. India's December naphtha exports are expected to reach about 900,000 tons, largely steady with this year's monthly average. The price for front-month open spec naphtha for H1-January fell by over US$15 to US$854/ton, lowest since Dec. 15, 2010.