18 November 2011 11:29 [Source: ICIS news]
LONDON (ICIS)--Following a spike for November styrene pricing late last week, European numbers appear to be in freefall as market fundamentals take hold, sources said on Friday.
Delayed production restarts this month and the late arrival of imports managed to catch several players out last week, and November numbers rose from $1,380/tonne (€1,021/tonne) at the beginning of the week to $1,600/tonne, which was traded late on 11 November.
However, after several days of inactivity earlier this week, price ideas began to rapidly drop on Thursday afternoon.
Offers were heard at $1,475/tonne, while bids had fallen back down to the $1,350/tonne mark. A deal for prompt delivery was later heard at $1,450/tonne.
“There seems to be a lot of product booked from the ?xml:namespace>
With demand slowing down ahead of year-end and feedstock benzene currently trading at its lowest level since September 2010, a sharp correction following last week’s spike felt inevitable.
One major consumer said that following last week’s sharp gains, the key was to get current European prices to “a sensible level reflecting business and economics.”
On Friday morning, however, firm numbers for November material were few and far between.
One trader said: “The market is quiet so far. There are no buyers looking to cover prompt positions right now.”
($1 = €0.74)
For more on benzene and styrene visit ICIS chemical intelligence
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.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|
Asian Chemical Connections