SINGAPORE: Asia's naphtha crack was at a three-session high of $61.08 a tonne on Thursday, but the value was 25 percent lower versus a month ago as more supplies were expected.
- Cargoes arriving from the West including Europe and the Mediterranean next month would be higher than in May, traders said.
- High gasoline stocks coupled with a switch to liquefied petroleum gas (LPG) in the West would see more naphtha being freed up and pushed to Asia, they explained.
- LPG, a commodity also used for heating, can be used to replace a portion of naphtha in crackers to produce petrochemical products.
STOCK LEVELS: Singapore's onshore light distillates stocks, which comprise mostly gasoline and blending components for petrol, dived 10.5 percent to a nine-week low of 13.3 million barrels in the week to May 3.
- But US gasoline stocks were up 191,000 barrels last week, the US Energy Information Administration said on Wednesday.
- The modest increase in US stocks came a week after the gasoline inventories had risen by a massive 3.4 million barrels in the week to April 21.
GASOLINE: Asia's gasoline crack was at a two-session low of $8.56 a barrel.
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