Naphtha crack in Asia recover on support from strong fundamentals

29-Apr-14

Naphtha crack in Asia recovered to US$150.6/ton after a slide in the previous session on support from strong fundamentals. Demand is expected to stay strong and buyers will return to the market to seek June cargoes as there is a lack of affordable alternative feedstock liquefied petroleum gas (LPG) in the market, traders said in Reuters. South Korean buyers who have yet to replenish their H1-June stocks may come forward this week before May Day. At over US$150, the current crack value is nearly 12% higher than the average for Q1 of this year.