The European benzene price hit a fresh 26-month high Monday, with prices continuing to increase Tuesday, according to S&P Global Platts data.

The European benzene spot price was assessed at $1,023.50/mt CIF ARA Monday, up $9.50/mt from Friday, and reaching a fresh 26-month high. Last week, the spot price hit the highest level since November 2014 and prices have since increased.

Sources said last week that there were some production issues in the Netherlands that led to tightness in the prompt market. Platts could not obtain official confirmation of the issue.

Industry sources said these issues supported the price rise and contributed to bullishness in the market this week.

The FOB Korea marker price was assessed at $1,010/mt Tuesday, up $18/mt on the day, and the US DDP USG price was assessed at 339 cents/gal ($1,014/mt), up 5 cents/gallon ($15/mt) on the day. Both prices reached the highest level since November 2014.

Buying interest in Asia was reported as firm, while in the US, limited supply and closed arbitrage opportunities to the US pushed up the price.

Upward momentum continued in the European market Tuesday, with deals heard done at $1,040/mt for February, and marking a $35/mt increase on the day.

–Yuriko Kato, yuriko.kato@spglobal.com
–Edited by Jonathan Fox, jonathan.fox@spglobal.com

http://www.platts.com/latest-news/petrochemicals/london/eu-benzene-hits-fresh-26-month-high-as-upward-26646447