IPA contracts steady, but expected weaker in August
US isopropanol (IPA) contract values were steady during the week ended 29 July after settling down for July during the previous period on softer feedstock and ample supply.
But sources said IPA pricing appeared likely to slip further in August because demand is softer and because producers appear more willing to negotiate to move higher-priced material out of storage tanks before prices weaken further.
No production issues were heard during the period, but planned upstream cracker outages along the US Gulf were said to be pressuring olefins including propylene.
Feedstock chemical-grade propylene (CGP) recently dropped by 4 cents/lb ($88/tonne, €62/tonne).
US NYMEX crude futures for September finished the period down by just over 4% on the week despite a weaker dollar versus the Swiss franc. Trading also reacted to US economic data showing weak growth during the first half of the year. The paralysis in Washington over the US debt ceiling diminished sentiment as well.
($1 = €0.70)
NYMEX Front-Month Crude Oil Contract
| Date | 8 Jul | 15 Jul | 22 Jul | 29 Jul |
| (US$/bbl) | 96.20 | 97.24 | 99.87 | 95.70 |
This week on ICIS ( www.icis.com ):
29/07/2011 21:11 US crude futures slide $1.74/bbl on disappointing economic data
27/07/2011 21:13 US propylene stocks fall slightly from 2011 peak
27/07/2011 16:06 US Dow to sell PP business for $340m
27/07/2011 14:48 Initial Europe August propylene settlement fails to find support
25/07/2011 18:05 Flint Hills to start up Texas olefins unit after weekend shutdown
