Naphtha prices in Asia hovered at a six-month high at the start of the week, while cracks remained near a nine-month high for the third consecutive session, supported by tight supplies, as per Reuters. Few traders were willing to pay premiums above US$30/ton on a free-on-board (FOB) basis for Indian cargoes to cover their positions. These levels have not been seen in more than six months. “Maximum premiums for Indian cargoes of open-spec grade should have been around US$20-21/ton FOB basis considering that petrochemical makers are paying around US$7/ton to Japan quotes on a cost-and-freight basis," said a North Asian trader.
However, tight supplies could have given some traders limited choices as Europe is unlikely to ship any cargoes to Asia in the short-haul.
The price for front-month H1-March open spec naphtha rose by US$22 to US$995.50/ton, highest since Aug. 1 2011.
31-Jan-12 
{{comment.DateTimeStampDisplay}}
{{comment.Comments}}