BUDAPEST (ICIS)--Healthy operating margins and steady demand is likely to keep European benzene spot numbers rangebound in the fourth quarter, a trader said on Sunday.
Speaking on the sidelines of the 50th annual European Petrochemical Association (EPCA) meeting one trader felt that the market has been inching up and down with crude oil movements recently, but was starting to show signs of disconnecting.
However, the trader expects spot numbers to remain within a range of $650-700/tonne for the rest of the year.
Spot numbers dropped below $700/tonne in late August 2016 and have remained within this range ever since.
“There is nothing on the horizon to really push it one way or the other,” the trader explained. “Margins are good for producers, so they will keep running. Downstream demand is not really spectacular, but it is steady.”
The annual EPCA meeting runs from 1-4 October.