LONDON (ICIS)--Trading activity in the European methyl tertiary butyl ether (MTBE) market picked up this week, following the return of the majority of market participants after the seasonal break, sources said on Friday.
A total of 11 trades were seen during the open market session this week.
The MTBE factor against Eurobob gasoline cash barges also increased, rising from 1.14 to 1.16 by mid-week.
Sources noted this increase was indicative of the improved demand seen in the market.
“There may potentially be some export demand from South America,” one trader said. “The increased purchases this week could soon be sent to Venezuela,” he added.
The current market price structure is thought to be in a slight contango up until April. However, sources said no buying for storage has yet been evident in the market.