NWE April benzene prices up by US$9/mt on consumer buying

08-Apr-11

Northwest European benzene prices for April rose on Thursday morning by at least US$9/mt compared with Wednesday's close, as per Platts. The market rose from a close of US$1260.50/mt to be heard traded at US$1265/mt and then "a few times" at US$1270/mt for 1,000 mt CIF ARA April barges during the morning session. Following this, the market was seen at a bid/offer range of US$1270-1275/mt for both April and May, suggesting that the April interest had closed the US$5/mt contango that had previously been seen between the two months. The climb in the market came despite a US$12/mt fall in April benzene prices in the US Gulf Coast and a US$15/mt drop in May prices in the US. The Asian market was also stable. Benzene prices are expected to follow strong energy prices. Strong buying could see prices over US$1300/mt. European open-spec naphtha was seen around US$1018/mt CIF NWE 1200 BST, giving a benzene-naphtha spread of US$252/mt.