Tight supply drives prices higher

The United States benzene manufacturers have settled December 2002 contracts at $1.38/gal fob, a jump of 21 cts/gal from November. Benzene spot prices fell to about $1.38-$1.40/gal fob as the market acknowledged that supply was not as tight as previously thought. Spot price were on a steady rise from the first week of November, and peaked at about $1.57/gal. According to the traders the benzene spot prices are still considered high, despite the recent slip.