IHS Chemical Week

North American Propylene Contracts for January Skyrocket

11:43 AM MST | January 17, 2011 | Lindsey Bewley

North American propylene contracts have reached a rare multi-tiered settlement for the month of January, market players say. Polymer-grade propylene (PGP) settled at an increase of 17 cts/lb, to 77.5 cts/lb, while chemical-grade propylene (CGP) settled at a gain of 15 cts/lb, to 74 cts/lb. The CGP settlement represents a 25% increase over December contract prices, while the PGP settlement represents a whopping 28% increase.   The settlement is unusual because both CGP and PGP increase or decrease the same amount. Players say the rare two-priced settlement...

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