UpdateAsia’s naphtha tumbles on hefty overnight crude losses

21 June 2013 03:31  [Source: ICIS news]

(adds details)

Asia’s naphtha fallsSINGAPORE (ICIS)--Asia’s naphtha prices opened sharply lower on Friday morning, triggered by steep losses in global crude futures overnight, traders said.

Open-spec first-half August contract fell by $16.50-17.50/tonne (€12.54-13.30/tonne) from Thursday to $851.50-854.50/tonne CFR (cost & freight) Japan, ICIS data showed.

The July NYMEX light sweet crude contract finished down by $2.84/bbl to $95.40/bbl on Thursday, while London Brent crude futures for August spiralled down by $3.97/bbl to $102.15/bbl, the data showed.

A strong dollar and a selloff in global stock markets had sparked off the losses in crude futures, according to market players.

Fundamentally, the Asian naphtha market is getting bearish amid excess cargo availabilities resulting from huge western deep-sea inflows, traders said.

Poor gasoline blending in Europe led to surplus bookings of naphtha supplies to Asia, they added.

Naphtha is also used as a gasoline blending component, apart from being a dominant cracker feedstock in Asia.

($1 = €0.76)


By: Felicia Loo



AddThis Social Bookmark Button

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

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