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Markets :: Basic Chemicals :: Petrochemicals :: Butadiene

Butadiene Falls to New Low On Weakened U.S. Economy

10:40 AM MST | March 6, 2009 | Lindsey Bewley

March butadiene contracts settled at 25 cts/lb in the U.S., the lowest contract price since December 2002 when butadiene was priced at 27 cts/lb. The March price is a 3-cts/lb discount to the February contract price. U.S. butadiene prices peaked at $1.22/lb in October 2008 after more than one year of steady gains, but they have crashed about 77% since then. The slowdown in the U.S. automotive and housing industries has depressed demand for butadiene and its derivatives. Weak derivatives demand has caused oversupply in the butadiene market, sources say...

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