- Limited spot liquidity talked
- Backwardated market structure persists
US spot methanol prices held to previous-day values Aug. 12, with a slowdown in spot trading activity heard in the market.
Front-month (August) spot methanol was assessed unchanged at 73 cents/gal FOB USG, with no new bids, offers, or trades reported on the day. Second-month (September) spot methanol remained at a 1-cent/gal discount to the front-month value and was also assessed unchanged at 72 cents/gal FOB USG.
Ongoing outages at methanol production facilities in Trinidad and Venezuela have served to tighten domestic supply and add price support to spot methanol volumes in recent weeks.
The locational pricing spread between Northwest Europe and the US Gulf Coast widened 1.36 cents/gal on the week to 5.03 cents/gal Aug. 12, indicating that exports from the Amsterdam-Rotterdam-Antwerp region to the US are still mostly uneconomic despite lower prices in Northwest Europe and slightly higher values in the US on the week.