Asia’s June capro contracts partly settled at $2,230-2,240/tonne

19 June 2014 07:41 Source:ICIS News

SINGAPORE (ICIS)--A portion of June caprolactum (capro) contract prices in northeast Asia have been settled at $2,230-2,240/tonne, according to a buyer and its sellers late on Wednesday. 

This was a $5/tonne increase at the high end of the price range compared with May contracts which were settled at $2,180-2,235/tonne, with some buyers still holding out for lower prices at $2,180-2,210/tonne. The contracts were done on a CFR (cost & freight) NE (northeast) Asia basis.

“The increase was driven by increases in Asian benzene prices over the month of June, but gains were limited by a persistently weak downstream nylon chip market,” the buyer said. 

Spot benzene prices rose by $34-52/tonne from the week ended 30 May to $1,298-1,345/tonne FOB (free on board) Korea in the week ended 13 June, according to ICIS data.

Asian benzene contract prices for June were concluded at $1,290/tonne FOB Korea, up by $22/tonne from May, ICIS data showed.

More capro contracts will be settled towards the second half of the following week when market participants convene at a nylon industry conference in Hangzhou, China on 26-27 June to conclude their discussions.

By Daphne Ho