Forward curve of naphtha strengthens in Europe

04-Dec-10

Swaps market in Europe showed naphtha might gain further support due to tight supply into Asia, as per Reuters. The forward curve of naphtha strengthened, and April crack briefly turned positive earlier in the day. The cracks were US$2.20 a barrel for December. Supplies will be reduced from the Middle East because Saudi Aramco is to reduce supplies to Asia by at least 580,000 tons in H1-2011 due to planned maintenance at two of its refineries.