The Asian MTBE flat price surged $42/mt day on day to be assessed at $1,207/mt Friday, recording its steepest gain in five months, Platts data showed.
The last time it jumped to this extent was on May 9, 2011, when the marker surged $48/mt to be assessed at $1,186/mt.
The Asian benchmark 92 RON gasoline price gained $4.79/barrel day on day to close at $124.64/b, while November ICE Brent crude futures gained $3.33/b over the same period to $112.16/b at 4:30 pm Singapore time (0830 GMT).
An MTBE trading source said demand was still robust, with inquiries coming in for October and November. "I had a very prompt inquiry, but it must be more a logistical issue; but I think demand is still good."
He added that supplies were also a bit tight with fewer cargoes arriving from the Middle East.
Demand for MTBE from the Mediterranean was said to be strong, with cargoes heading there from the Middle East, keeping Asian supplies tight.
MTBE prices typically trend lower in the fourth quarter starting October, as blending demand starts to taper off following the peak gasoline demand season.
Meanwhile, incremental demand coming from Indonesia as well as Vietnam is keeping gasoline prices well supported along with MTBE prices.
