Asian paraxylene prices although gained US$5 a ton FOB Korea and CFR Taiwan/China in the second week of February. Paraxylene markets were quiet that week and activity was thin amid Lunar New Year holidays, in most part of Northeast Asia. However, weekend saw prices rising amid surging crude oil and mixed xylene prices.
In US, demand for paraxylene continued to be weak and pricing was hard to gauge, but pricing was near the netback to Asia. Movement to Asia was quiet despite open arbitrage window. Mixed xylene prices declined week on week, easing cost support to paraxylene markets. An offer was heard at US$650 a ton FOB US, against no bids. Spot mixed xylene price declined US cents 5 per gallon FOB USG for February and March delivery.
In Europe, paraxylene production on the spot market was heard to be limited due to the high mixed xylene premium over gasoline which narrowed the MX-PX spread. Spot paraxylene prices were down US$6 a ton FOB Rotterdam while February contract price was settled last week which was down by Euro20 a ton from January.
Courtesy: Weekly PriceWatch Report
