An initial European monoethylene gl

An initial European monoethylene glycol contract price for December has settled at Eur590/mt ($727/mt), marking a rollover from November, according to a producer and consumer involved in the negotiations Dec. 3. The rollover was largely due to stable spot prices seen through the month of November and came despite a rise in upstream feedstock prices. Spot MEG prices were unchanged in November, assessed at Eur530/mt FCA NEW Nov. 27, compared with Oct. 30, according to S&P Global Platts data. The industry-settled European ethylene contract price for December was fully agreed at Eur795/mt ($950/mt) FD NWE, an increase of Eur20/mt on the month. Spot MEG prices have dropped 33% as of Nov. 27 from a 2020 high of Eur790/mt on Sept. 18, according to Platts data, after a supply-side driven shock forced up truck cargo prices. Some market sources expected prices to rebound in December, having hit a floor in November. "All-of-a-sudden, it seems for some reason that prices will increase. A few bulk deals and inquiries, and that prices will get firmer," a distributor said. "It's (the rebound) due to a mix of both supply-side ethylene supply chain. Ethylene was up Eur20 and ethylene oxide up Eur16/mt and all prices are on a rebound, especially for the contractual side," a second distributor said. Sources added that the ethylene monomer rise was supported by stronger demand expectations and ongoing supply constraints in the European ethylene market. Meanwhile, volatility continued in the upstream naphtha, where CIF Northwest Europe outright prices stood at $371/mt in the monthly averages as of Nov. 30, only marginally down on the October average of $375/mt, Platts data showed.