Global petrochemical prices were down 14% ($175/tonne) in June compared to May, continuing a downward trend that started early in the second quarter for the $3-trillion-plus global petrochemical market. Platts reported that its Global Petrochemical Index (PGPI), a benchmark basket of seven widely used petrochemicals, experienced its largest month-on-month price drop in percentage terms since November 2008. At that time, at the start of the global economic crisis, prices fell 38%.
June's decline follows an 11% drop in the monthly average in May and is down 20% from the year-ago June 2011 average. Platts noted that across the globe, petrochemical prices have followed energy prices lower. Brent crude oil prices most recently peaked at $126/bbl in March, before falling as low as $89/bbl during the third week of June.