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US spot methanol rises on higher contract, short covering

Focus US spot methanol rises on higher contract, short-covering

Focus article by Bobbie Clark

HOUSTON (ICIS)--Stability in the methanol spot market came to a halt after the US contract settled slightly higher at the end of February, with Southern Chemical Co (SCC) posting a 1 cent/gal increase, while Methanex went with a rollover for March.

There was also sentiment in the market that the worst of the winter weather was over, which led to some destocking.

Cold weather affects methanol prices because the product is made from methane, which is also burned as a fuel to heat houses.

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