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Ethylene Contracts Settle in Two-Month Deal

8:27 AM MDT | September 17, 2010

Ethylene contracts for the months of July and August have settled in a two-month deal, market players say. The deal places July ethylene at a loss of 2.5 cts/lb, to 37 cts/lb, and August ethylene up 2 cts/lb, to 39 cts/lb. The dual settlement represents a net loss of 0.5 cts/lb, or about 1.3%, from when contracts last settled in June at 39.5 cts/lb. The loss of 2.5 cts/lb for July is attributed to lower production costs and falling spot prices, while the increase for August was necessary as both spot and production costs climbed last month, market sources say...

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