US benzene contracts for June settle higher

31 May 2017 20:38 Source:ICIS News

Source: Cultura/REX/ShutterstockHOUSTON (ICIS)--US benzene contracts for June settled on Wednesday at an increase of 1 cent/gal over May.

US June benzene contracts stand at $2.70-2.71/gal FOB (free on board) USG (US Gulf), compared with $2.69-2.70/gal in May.

Benzene contract prices typically settle on the last day of the prior month and are heavily influenced by prices in the spot market.

Spot prices were volatile during the month of May, with prices posting declines earlier in the month in response to weaker styrene demand from major overseas buyers. 

Spot prices moved higher in the middle of the month as export demand for US styrene picked up and as crude oil prices moved above the $50/bbl threshold. At the end of the month, spot prices came back down to levels similar to late April, tracking movements in oil prices and Asian and European benzene markets.

By Zachary Moore