Upstream pressures continue to provoke uncertainty Shell Moerdijk cracker outage an issue for market
participants



Participants in the
European propylene markets continued to worry about upstream issues in the week
ending April 1. The settled April contract price soared, putting more pressure
on the upstream. Eur1,675-1,695/mt was the April European industry-settled
price for propylene on April 1. This is an increase of Eur225-240/mt over
March. Although a three-digit increase in
contract price was expected, it raised concerns about the outlook for demand. Spot market activity was muted this week. A producer and
trader both commented on the lacklustre activity. This was attributed to the April contract price. The
producer said that all eyes were on settlement and that volatile prices had
prevented market participants from planning ahead. One producer stated that high energy and feedstock...