Global petrochemical prices in freefall


Global petrochemical prices fell by 11% in May, their biggest month-on-month drop since November 2008, when the worldwide economic crisis became an accepted and painful reality. Prices in the $3-trillion-plus global petrochemicals market averaged $1279/tonne in May, plummeting by $165/tonne according to the Platts Global Petrochemical Index (PGPI), a benchmark basket of seven widely used petrochemicals.

In November 2008, when the S&P 500 was down 45% from its 2007 high; housing prices had dropped 20% from their 2006 peak, and futures markets signaled a 30-35% drop, petrochemical prices dropped by 38%. May's average price of $1279/tonne was down by 16% compared to May 2011....
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