Price spread between gasoline and naphtha narrows in NWE

The narrowing of the price spread between gasoline and naphtha in Northwest Europe follows gains in the September naphtha crack spread, as per Platts. The gasoline-naphtha spread was assessed at US$52 on Monday and US$46/mt on Tuesday, falling from US$16/mt recorded on last Wednesday. Naphtha values have strengthened this week amid higher gasoline blending demand, as good arbitrage economics for shipments from Northwest Europe to the US and West Africa encouraged traders to make gasoline for export. Naphtha is a key feedstock used in gasoline blending. When the price of naphtha becomes more expensive relative to gasoline, blending margins for the road fuel typically narrow. The gasoline-naphtha spread narrowed following gains in the front-month naphtha crack spread, the relative value of the product to crude. The front-month naphtha crack spread is currently trading at minus US$6.05/barrel to ICE Brent, from almost minus US$6.50/b on Monday. In contrast, the September gasoline crack spread is trading at plus US$6.80/barrel, down by 40 cents/barrel from Tuesday's assessment.
  More News  Post Your Comment
{{comment.Name}} made a post.




There are no comments to display. Be the first one to comment!


Name Required.


Email Id Required.

Email Id Not Valid.


Mobile Required.

Email ID and Mobile Number are kept private and will not be shown publicly.

Message Required.

Click to Change image  Refresh Captcha