Market is Anticipating Huge Changes by the Increase of Oil Price, Drop of USD Exchange Rate

Based on technical analysis of Brent oil, it is expected to reach to the level of 49$, if it exceeds the level of 46$. On Tuesday, at 1:30 PM and Thursday before analysis publication, it stands at the level of 48.49$.

Concerning bitumen rate increase in Iran and decrease of USD against Rial, bitumen price will hike up more than 300$/MT FOB in less than next 10 days. Now the rates are in their lowest possible level and freights in India are fixing at 17-18$/MT and there is no additional GRI in India. By the end of Diwali and running out of previous materials and stock, demands are increasing and it can be a good time to place new orders.

Last Monday, Donald Trump admitted to transfer authority to the next government, markets of commodity and oil were all positive as they showed a positive reaction to the peaceful transfer of the authority in the USA.

Till Feb. 2021, as China was the only country with the positive economic growth, markets of commodities have an increasing trend.

The latest reports received from the shipping lines show that during 10 days ago most of the bitumen suppliers did not book any container for Indian ports and they were mainly involved with their previous commitments.

However, we can expect a positive growth of supply and demand in next weeks concerning the increasing trend of oil price and numerous demands in the Northern hemisphere.

This article was prepared by Razieh Gilani, the sales manager of Infinity Galaxy (www.infinitygalaxy.org).