- The Front-month Japan naphtha swap spread
widens- Kuwait Petroleum offers a tender for 50,000 mt naphtha



Spot activity in the Asian naphtha
marketplace increased on March 24, when one tender was issued. Market
participants were cautious due to global economic uncertainty. A lackluster downstream
petrochemicals market and worries over French refinery strike concerns prompted
market participants to be cautious about the near-term outlook. The derivatives market reflected stronger sentiments, with
the backwardation structure expanding in midmorning trade on March 24, while
the forwardation structure was wider. Brokers
estimated the front-month April/May Japan naphtha swap spread to be $9.75-10.80/mt.
This was up from $8.75-9.75/mt at March 23 Asian close. Market sources stated that there was a chance that the
French refinery strikes could have an impact on the naphtha market in terms of
reduced...