LME Plastics: LLDPE and PP prices fall back

21 May 2007 16:36  [Source: ICIS news]

LONDON (ICIS news)--Linear low density polyethylene (LLDPE) and polypropylene (PP) futures prices were both lower on the London Metal Exchange on Monday, losing some of the gains made last week.

 

The official LLDPE price was down $10 at $1,210/tonne. The official PP price was also $10 lower, at $1,280/tonne.

 

Prices had moved higher last week as crude oil and naphtha prices increased.

 

On Friday the June LLDPE contract closed unchanged at $1,210/tonne but June PP was bid up to close at $1,280/tonne.

 

Trading on the contracts, however, remained light, with no LLDPE or PP traded for the second day on Friday according to broker reports.

 

The big news on the cash markets on Monday was the acquisition by SABIC for $11.6bn of GE's plastics business. The move drives SABIC downstream into polycarbonate and engineering polymers and gives it a strong foothold in engineering plastics in the US.

Date:		Contract:
21 May 2007		LLDPE				PP
LME reference price		1210				1280
Forward prices		Bid		Offer		Bid		Offer
June 2007		1190		1210		1260		1280
July 2007		1205		1225		1260		1280
August 2007		1215		1235		1260		1280

 

The LME official or reference prices are the offer prices for the first forward delivery month – in this case June 2007. Bid/offer prices are given in the table above for three forward months.

 

Prices shown are per tonne on a FOT (free on truck) basis delivered Rotterdam/Antwerp, Singapore and Houston.

 

($1 = €0.74)

 

By: Staff Reporter
+44 20 8652 3214

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly