Marginal recovery in naphtha crack in Asia

07-Apr-15

Naphtha crack in Asia recovered marginally on Monday to US$105.60/tone vs a two-week low in the last trading session, but opinions on supplies were divided, as per Reuters. Some traders were convinced that there would be more western barrels arriving on Eastern shores next month compared with April arrivals at about 1.5 mln tons. Exact figures were not available immediately. "It is now workable to place US naphtha on provisional shipment to the East," said a Singapore-based source. USA had choked off most of its naphtha to Asia following strong demand from Latin America and tight supplies in the West. Other traders said it was too early to determine the supply trade flows. But the overall market was marked by muted spot trades throughout the day, as some buyers have just returned to the market after the Easter break.