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Mt. Belvieu TET propane prices strengthened for a fourth consecutive session yesterday, despite broad-based weakness in energy futures. Brent crude futures fell 0.9% and WTI dropped 1.1% amid strength in the dollar and mostly weaker trade in equities with US-China tensions rising with plans to impose fresh sanctions on Chinese individuals for disqualifying elected opposition officials in Hong Kong. Natural gas futures also fell, by 6.6%, resuming their sell-off after an uptick on Friday. Mt. Belvieu TET propane prices, on the other hand, rose 0.6% (38 points) to 59.94c/g, bringing the total gain over the last four sessions to 3.44 cents. Conway prices, meanwhile, held steady at 56.00c/g.
Crude futures continued lower this morning, although losses were small at 0.5%, with a further rise in the US dollar index and weakness in equities. Propane prices continued higher, with Mt. Belvieu looking set for a fifth straight gain. Mt. Belvieu TET prices were up 0.4% (25 points) at 60.19c/g this morning, with non-TET nearby at 59.81c/g. Conway spots were up 0.5% (also 25 points), at 56.25c/g. In the news, OPIS reports that Asian petrochemical makers are set to cut LPG usage next month, which would mark a fifth consecutive month-on-month reduction, according to an OPIS poll, as naphtha has become a more attractive feedstock.
