European monoethylene glycol fundamentals heading into November were said to be bearish amid a lull in demand from both derivatives polyethylene terephthalate and anti-freeze.
Spot weekly MEG prices have fallen Eur10/mt since mid-September, assessed Friday at Eur870/mt (about $1,022/mt) FCA NWE. The after-effects of interrupted supplies from the US post-Hurricane Harvey have now worn off.
“We are offering [material] for delivery in the second half of November which is causing people to adopt a ‘wait and see’ approach on the bulk side.” said a source.
“Demand has certainly been slow, very quiet and slow,” another source said Friday.
Spot prices for feedstock ethylene are currently trading flat to the October contract price at Eur1,025/mt reflecting the stable fundamentals as supply in Europe balances demand.
S&P Global Platts PEI stood at Eur1,032.50/mt FD NWE on Friday. However, expectations from industry are heard pegged around a rollover to a small decrease.
- Platts.com
