The Northwest European benzene spot price inched up Thursday, reversing declines in the first half of the week, as interest for April product picked up.
The NWE benzene spot price was assessed at $663.50/mt CIF ARA Thursday, up $22 from Wednesday, and returning to the same level as Monday. The spot price fell between Monday and Wednesday.
The increase in the price was driven by stronger interest in April product on Thursday.
"There are more bids," a source said.
Greater buying appetite for April led to a widening of the backwardation between April and May dates.
"[The backwardation] is wider today [Thursday]. Bids and offers are more focused on April," the first source added.
Sources pegged the April-May backwardation in the range $5-$15/mt on Thursday.
Platts assessed the backwardation at $10/mt Thursday, doubling from the previous day.
This contrasted with reports earlier in the week that the market was quiet because buying appetite for benzene had "slumped" following contract price negotiations at the end of last week.
The April benzene contract price was fully settled last Friday at Eur616/mt or $698/mt, rising Eur93 or $122 from March.
Several spot trades were reported for May on Tuesday, but no trades were heard for April, reflecting a quiet market.
Nevertheless, the pick-up in buying interest for April lifted the spot price on Thursday.
On Friday, bid-offer ranges for April were heard at $655-$675/mt and for May at $645-$670/mt.
