22-Dec-16 Naphtha crack in Asia was at a three-session high of US$66.28/ton on Wednesday, tracking the strength of gasoline where margins on petrol hit a three week high of US$9.47 a barrel due to firm demand, as per traders in Reuters. Robust demand for gasoline has countered China's strong exports in recent months.
Official data showed that China exported about 940,000 tons of gasoline last month, up 8% from October and about 15% below a record high in June this year. Japan also exported more gasoline in the week to Dec. 17 vs the previous week, official data showed. Naphtha supplies continued to outpace demand despite a string of buyers scooping up cargoes since last week.
A Japanese petrochemical buyer bought a naphtha cargo for H1-February delivery at a discount to Japan quotes on a cost-and-freight (C&F) basis, an industry source said, without elaborating on the exact level.
