U.S. benzene-to-crude ratio regains ground Sept. 2 after slipping for six days, rising to 1.8905 as spot prices for September benzene were quoted at US$3.92/gallon FOB USG
September 2, 2011
– The U.S. spot market for September benzene saw the benzene-to-crude ratio increase to 1.8905 Sept. 2, regaining some ground after declining for six days as spot prices for benzene were quoted at US$3.92 per gallon free on board U.S. Gulf, Platts reported the same day, citing market sources.
The benzene-to-crude ratio dropped from 1.9904 Aug. 24 to 1.8675 Sept. 1, Platts reported.
By mid-morning Sept. 2, October NYMEX crude futures slipped $1.84/barrel to $87.09/barrel. Offers for September started at $3.99/gallon FOB USG early Aug. 2 and fell to $3.96/gallon FOB USG by the afternoon.
Offers were countered by bids starting at $3.85/gallon FOB USG that rose to $3.90/gallon FOB USG by the afternoon.
A market source told Platts that a possible reason for benzene not tracking crude in the last few days could be that a lot of traders are off early for the upcoming Labor Day holiday.
Nevertheless, benzene-crude ratio has lingered around the 1.9 level for some time, the source added.
Platts noted that the benzene-to-crude ratio held steady over 1.9 for the entire month until Aug. 30.
The primary source of this article is Platts, New York, New York, Sept. 2, 2011.