Mid Month 12 23

Mid-Month to Mid-Month: Where’s the Market Headed?

With nary a minute to catch their collective breaths, propane dealers transitioned from strong crop drying demand to an Arctic Vortex that brought prolonged record-breaking temperatures to much of the nation. Without the time to replenish to their depleted supplies, many found themselves waiting in long lines for product, if it was to be had at all, and paying a higher-than-anticipated price. To say the least, this has been an indescribable period for many in the propane industry.

Posted prices at Belveiu held on to their mid-December gains, finishing out the year at 143.463 cents/gal. The new year saw them a bit higher at 147.163 cents, and then up to 148.113. Once again it was uphill as this winter’s woes kept everyone hopping, and prices rose to 152.070 cents.

Spots at Mont Belvieu were in the 126-cent range the latter part of December, moving up to 129.50-129.625 cents/gal. the first week of January. As the unpredictable cold weather lingered, and product remained scarce, spots nonetheless dipped a bit to 128.875-129.375 cents.