Gasoline and naphtha prices were mixed on Monday as a lack of arbitrage opportunities and high outright crude prices dampened demand while maintenance and strikes in Portugal lent support, as per Reuters. Petrochemical demand for naphtha as a feedstock has fallen due to high oil prices and with the propane-naphtha spread narrowing towards parity.
"The increase in flat price is hitting petrochemical margins and therefore demand," said one naphtha trader, "(There is) no arbitrage out of Europe to the East, trans-Atlantic or Brazil." Despite the lack of a workable arbitrage, Vitol fixed a long range vessel to Asia, as per a market player.
20-Sep-12 
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