04 September 2012 11:01 [Source: ICIS news]
The second-half October contract for open-spec naphtha rose by $14.50/tonne from Monday to $1,010-1,012/tonne CFR (cost and freight) Japan, according to ICIS data.
The levels were the highest since 30 April, when the prices stood at $1,020/tonne CFR Japan, the data showed.
In open market trading on Tuesday, Glencore sold an open-spec naphtha cargo for second-half October delivery to Marubeni at $1,011/tonne CFR Japan, traders said.
“Supply is tight,” a trader said.
Demand, on the other hand, remains healthy, traders said.
Stronger crude futures also helped shore up prices, while the naphtha crack spread versus October crude futures widened to $140.10/tonne – the highest since 24 April, according to the data.
The intermonth spread between the second-half October contract and the second-half November contract widened to a backwardation of $14.00/tonne, from a backwardation of $11.00/tonne on Monday, ICIS data showed.
($1 = €0.79)
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