Asia’s naphtha markets weakened for a third consecutive session on Thursday as underlying prices rose about $21 per metric ton, while demand from petrochemical units remained tepid.

The crack slipped to $81.47 per ton over Brent crude, compared with $86.93 a ton a day earlier. The second-half February naphtha price jumped to $673 per ton in backwardation structure.

The gasoline crack, on the other hand, hovered at about $10 per barrel on Thursday after Singapore inventories declined.

At the deals window, there were no trades for naphtha, while energy traders continued to snap up late-January cargoes for benchmark-grade of gasoline.

INVENTORIES O/SING1

Singapore’s light distillate stocks fell by 377,000 barrels to a three-week low of 12.990 million barrels in the week to Jan. 3, government data showed.

NEWS

– Several Saudi Arabian companies released regulatory filings late on Wednesday and Thursday saying that state energy company Saudi Aramco’s decision to raise feedstock and fuel prices for this year will raise production costs and lower earnings.
– Oil rose more than 1% on Thursday, adding to gains in the previous session on concerns over Middle Eastern supply following disruptions at an oilfield in Libya and heightened tensions regarding the Israel-Hamas war.

SINGAPORE CASH DEALS O/AS

Three gasoline trades, no naphtha deals.
Source: Reuters (Reporting by Mohi Narayan; Editing by Varun H K)