CFR Far East

　 The CFR Far East market extended its decline. As of Nov 5, the Japan Index stood at $973.75/mt for propane and $1,123.75/mt for butane, while the China Index was assessed at $1,050.25/mt for propane and $1,200.25/mt for butane, all markedly lower from the previous week. The sharp decline in crude oil prices was the primary driver behind the weakness. In the CFR Japan market, buying interest from Japanese importers eased after they had moved to secure pure propane cargoes for December delivery. Chinese importers also refrained from making purchases as CFR Far East prices had remained elevated in recent weeks. In addition, unfavorable margins for petrochemical products led many petrochemical companies to hold back from procurement.

FOB Middle East

　 For Middle East-loading cargoes, vessel movements within the Persian Gulf remained limited as navigation through the Strait of Hormuz continued to face difficulties. Against this backdrop, some Middle Eastern gas producers continued to market cargoes on either a ship-to-ship (STS) or delivered basis. Kuwait Petroleum Corporation (KPC) was reportedly heard to have sold a 44,000mt 50:50 cargo for second-half November delivery into Chiba to one Chinese player through its sell tender that had closed on Nov 4. In addition, QatarEnergy was reportedly heard to have sold around 26,000mt of propane for delivery via STS transfer in Vadinar on the west coast of India during Nov 5-12 to one Indian trader through its sell tender that had closed on Nov 3.

Asia Pressurized Market

　 For South China loading, some cargoes for November seemed to be available. However, sellers maintained a firm stance with offers at a premium of $470-480/mt to the November CP while buyers were apparently not interested to purchase at this level. In Southeast Asia, offers for delivery to Cambodia were heard at a premium of more than $400/mt to the CP. In South Asia, a deal for November delivery to Bangladesh was reportedly done at a premium of $400-500/mt to the November CP.