CP in July, 2024 : 572.5 USD/t ((± 0 USD from June)
C3 : USD 580 (± 0 USD from June) / C4 : 565 (± 0 USD from June)
Contrary to expectations, the July CP price did not fall due to the rise in crude oil prices, and landed at the same price as the June CP price. WTI started the first week of June at below $75, and from the third week it changed in the $80 range. The factors behind the rise include a decrease in crude oil inventories in the United States and other countries, concerns about supply risks surrounding the situation in the Middle East, Russia, and Ukraine, and rising expectations for increased demand during the driving season in the United States.
Looking at the LPG market, the Middle Eastern market saw solid demand even as it entered the off-season, and although shipments from Saudi Arabia were limited, Qatar and Kuwait supported it with spot sales. In addition, the operating rate of PDHs plant in China increased, supported LPG demand. Our view on future CP trends is expected to fall slightly in August because this month is also an off-season for LPG, but since OPEC+ extended the deadline for voluntary production cuts from the end of June to the end of September of this year at the ministerial meeting held in June. (Reference Material：ENEOS GLOBE Weekly Report, Astomos Energy Monthly Report, EIN)
※Our view is only our opinion and do not guarantee CP trends.
