- Market remains in contango
- Thin trading activity reported ahead of holiday
US spot methanol held to previous-day values July 2, with thin spot trading activity reported ahead of the July 4 extended holiday.
Front-month (July) spot methanol was assessed unchanged at 56 cents/gal FOB USG, with no new bids, trades, or offers reported in the market. Second-month (August) spot methanol was also assessed unchanged at 57 cents/gal FOB USG, remaining at a 1-cent/gal premium to the front-month value.
Prices in Northwest Europe were also flat on the day, with EUR 158.50/mt last indicated Wednesday. With prices unchanged in both the US Gulf Coast and the Amsterdam-Rotterdam-Antwerp hub, the locational price spread between the two regions widened marginally by 0.11 cent/gal to -2.55 cents/gal on exchange rate fluctuations. A negative price spread between the two regions indicates that exports from the ARA hub to the oversupplied USG market could become economic should the spread widen.