Propane Spot Prices Dip as Thermal Demand Fades with Early Spring Weather

Inventory Cushion

U.S. propane stocks are currently 11% above the five-year average for mid-February. With the peak heating window closed, the market is now entirely dependent on petrochemical demand and export volume to clear the excess supply.

Petrochemical Feedstock Interest

Cheap propane is attracting significant interest from global crackers who are switching away from naphtha to capture better margins. This industrial demand is the only factor preventing a move toward 50 cents.