US spot styrene dropped 1 cent/lb ($22/mt) from Friday to be assessed at 73 cents/lb ($1,609/mt) FOB US Gulf Coast Monday, tracking lower European spot styrene as well as lower feedstock benzene.
The assessment was at its lowest level since July 3 when it was at 72.75 cents/lb FOB USG, according to Platts data.
US spot styrene has fallen 4 cents/lb since being assessed at 77 cents/lb FOB USG September 23 and has dropped 1.80 cents/lb week over week.
European styrene was assessed Monday at $1,640/mt FOB Amsterdam-Rotterdam-Antwerp for October, a drop of $20/mt since Friday and a slide of $63/mt week on week.
Demand in the US styrene market is weak as arbitrage windows to both Europe and Asia have been closed, sources said, adding that supply was tight.
US spot benzene, used as a feedstock for producing styrene, has been declining due to downward movement in European benzene prices -- with sellers hoping to keep the arbitrage into the US closed -- and slower styrene demand, sources said.
US spot benzene was assessed at a near two-month low Monday at $4.15/gal ($1,240.85/mt) FOB USG, 8 cents/gal ($23.92/mt) lower than Friday. Spot benzene prices were last seen below this level on August 8 at $4.13/gal FOB USG, based on Platts data.
US spot benzene prices have been on a downward trend since September 4, priced at $4.62/gal, and have fallen a total of 47 cents/gal ($140.53/mt), based on Platts data.
Market participants have a bearish near-term outlook on benzene, and are skeptical about the potential for higher prices throughout October.
