US May phenol prices gain 1.4% on higher benzene costs  01 June
2012 21:18  [Source: ICIS news]  HOUSTON (ICIS)--US May phenol
prices increased by 1.4% from April, tracking higher feedstock
benzene values, sources said on Friday.  US May phenol contracts
were assessed by ICIS at an increase of 1.22 cents/lb
($27/tonne, €22/tonne), at 85.03-89.48 cents/lb FRT EQ (freight
equalised).  This matched the increase of the May US benzene
contract, which moved higher by 9 cents/gal.  The increase was
the same for formula-based and freely negotiated contracts,
buyers and producers said.  Buyers argued that export demand for
phenol has fallen significantly, especially into Asia.  This
means US producers should give buyers with freely negotiated
contracts a discount to those with a strict benzene-based
formula.  Producers argued that supply is tight because
operating rates are lower, and that domestic demand in the US is
still improved year on year, although it slowed in May from
April.  Additionally, three major phenol