U.S. prices for ethylene, the building block chemical for products ranging from plastic bags to antifreeze, recently reached levels not seen since the 2005 hurricane season, according to PetroChem Wire, a daily newsletter serving the petrochemical industry.
Ethylene touched 75.125 cents per pound on April 4, the highest level in at least seven years, PetroChem Wire reported. Prices began 2012 at 56.75 cents per pound. Ethylene climbed as unplanned plant outages and scheduled maintenance caused supply to fall short of demand.
PetroChem Wire’s ethylene price is used to settle daily contracts for the chemical traded on the New York Mercantile Exchange. The contract for May delivery slipped from the peak, and expired April 27 at 65.5 cents per pound. Prices have increased 15 percent so far this year.
via Ethylene Prices Reach Seven-Year High in April – MarketWatch.