As far as prices are concerned, the U.S. base oil market continues in a holding pattern this week. Sellers said that contract business is at usual levels – in some cases it is at full throttle, while in other situations, customer orders are more or less flat.
From the sellers point of view, base oil prices are slowly improving across the board, especially for the light viscosity grades. Suppliers are in agreement that bottom-line profits have been and are still suffering. But, they added, as time advances and the market moves toward the spring buying season in late February, prices should firm enough to help enhance otherwise squeezed margins.