Asia benzene extends rebound on buoyant crude, US-China talks

Asia’s benzene market firmed this week in a refreshing change after several months of decline, on hopes of a resolution to the US-China trade war in the near term. Spot prices are continuing their rebound, after strengthening toward the mid-$550/tonne FOB (free on board) Korea levels late last week, backed by gains in upstream crude market. Brent crude futures increased above $57/bbl this year after tumbling to around $50/bbl in December 2018. “Sentiment has turned slightly positive as the [US-China] trade talk continues,” a Singapore-based trader said. Spot benzene prices had tumbled from above $800/tonne FOB (free on board) Korea in the first half of October to the low-$500/tonne FOB Korea levels in early January 2019, ICIS data showed.