15 November 2013 23:59 [Source: ICIS news]
LONDON (ICIS)--Spot prices in the European methyl isobutyl ketone (MIBK) market fell for a third straight week - reaching their lowest levels in 21 months - because of weak demand, sources said on Friday.
Spot prices of MIBK were assessed by ICIS at €1,440-1,460/tonne ($1,946-1,973/tonne), down from a range of €1,450-1,470/tonne last week.
The lower cost of feedstock acetone is also contributing to lower MIBK prices. Buying activity in December is expected to be quieter as companies cut their inventories ahead of a new financial year.
Uncertainties in the macroeconomic environment are also leading market players to believe that demand for MIBK is unlikely to recover in early 2014.
“Whether the economy will generate more demand for chemicals - not just MIBK, but chemicals in general - in western Europe, that’s hard to see,” a producer said.
Statistics agency Eurostat on Thursday said that the 28 member states of the EU posted a GDP growth of 0.1% in the third quarter versus the same quarter last year. However, the 17 countries using the euro currency had a 0.4% decline in GDP over the same period.
($1 = €0.74)
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