Ethylene markets in the United States began the week on a quiet note, defying upward momentum in upstream energy markets. Despite a firming tone in crude oil and naphtha prices- both key feedstocks in ethylene production, spot ethylene prices remained largely unchanged on Monday, reflecting subdued trading sentiment and limited downstream demand.
According to industry sources, ethylene was assessed at 24.00–24.50 cents per pound (FD US Gulf), holding flat from Friday’s close. One US-based trader, speaking on condition of anonymity, noted that “market activity remained muted, with buyers and sellers adopting a wait-and-see stance amid prevailing macroeconomic uncertainty.”
This pricing inertia comes despite stronger fundamentals in related energy markets. Crude oil futures extended gains early in the week, underpinned by concerns over Middle East supply disruptions and resilient US gasoline demand. However, these bullish signals have yet to translate into meaningful momentum for ethylene, where oversupply and cautious downstream consumption continue to weigh on sentiment.
Globally, the trend was mirrored in Asia, where CFR Northeast Asia ethylene prices were also assessed flat at USD 825–835 per metric tonne. Similarly, Europe’s ethylene benchmarks held steady, with CIF NWE assessed at USD 800–810/mt and FD NWE at EUR 705–715/mt, indicating broad-based stability across key markets.
The current stagnation in ethylene pricing suggests that while feedstock costs may be trending higher, structural softness in demand, particularly from packaging and automotive sectors—continues to cap upside potential. For financial stakeholders, this indicates a market still treading water, with limited visibility on a near-term breakout unless supported by a significant shift in downstream offtake or tighter supply.
