NewsSignals AI analysis·Reuters·
Naphtha backwardation widens, prices firm
Grade Bbullish AI signal$NAPHTHA$BRENT
Asian naphtha prices climbed above $1,000 per metric ton as tightening supplies and falling inventories pushed the market's backwardation to its steepest level since August.
The December-January price spread widened to $40.25 per ton, while Singapore's light distillate inventories fell to a three-week low of 10.971 million barrels and naphtha imports dropped 29% week over week.
Continued export constraints and declining inventories could support naphtha prices, although easing crack spreads may temper further gains.
Bullish strength: 78/100
- Naphtha prices traded above $1,000 per metric ton.
- Backwardation widened to its steepest level since August, with the December-January spread reaching $40.25 per ton.
- Singapore light distillate inventories fell to a three-week low of 10.971 million barrels.
- Naphtha imports into Singapore declined approximately 29% week over week as no Middle Eastern or Indian shipments arrived.
Bearish strength: 22/100
- The naphtha-Brent crack eased by $3 to approximately $197 per ton.
- The gasoline crack declined by $1.62 per barrel to $21.80 per barrel.
This is automated NewsSignals analysis of third-party reporting, not independent original reporting or investment advice. AI scores are not price predictions.