10 July 2012 13:53 [Source: ICIS news]
LONDON (ICIS)--An initial European July paraxylene (PX) contract has settled at €995/tonne ($1,228/tonne), down €95/tonne from last month’s contract, players said on Tuesday.
However, it remains unclear whether this number will be fully confirmed by the market amid ongoing confusion stemming from the precarious July settlement in Asia, the key barometer for the European PX sector.
Despite news that an initial agreement had been made between one seller and one buyer, numerous other players said that they would not be following the number this month.
One major producer said that it would not be following the €995/tonne number for July with its customers.
Another producer said that it was happy to follow the initial settlement, feeling that it was a balanced reflection of the low contract settlement in Asia and the subsequent upturn in the spot market, but that its buyers were not happy with the number.
The European settlement is agreed on a free delivered (FD) northwest Europe (NWE) basis.
($1 = €0.81)
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