Weekly Bitumen Report: Continuation of Gradual Bitumen Price Increase

The US vetoed the Algerian resolution demanding an immediate ceasefire between Qaza-Israel. In the Security Council, the voting was 13 in favor, 1 abstention (the UK) with the US voting against. This is the third time that the US has vetoed the resolution of the Security Council regarding an immediate ceasefire. In the meantime, a retired Israel Defense Forces (IDF) chief of staff warned that if Hamas does not free all the Israeli hostages by 10 March, Israel will attack Rafah.

At the same time, Japan and Great Britain faced negative GDP, after Germany. However, the economic situation of China and the USA seems to be different. The reports received from America show the improvement of the economic situation and even the possibility of a reduction of interest rate in March. In China by the end of the Lunar Year holidays, most future commodity transactions turned positive. With a jump of 4.2%, crude oil prices reached 590 Yaun per barrel. However, it is not clear yet whether this situation continues constantly.

On February 22, Brent crude oil reached over 83 USD due to investors’ assessment of the attacks in the Red Sea and the prospect of interest rate cuts in the United States. Vandana Hari, the market analyst from Vandana Insights Institute states that the future prices of crude oil are almost limited and it will remain at the same range until the next turning point of the Qaza crisis, whether it leads to the reduction of tension due to ceasefire or the intensification of attacks.    

On Wednesday, Singapore’s 180 CST fell 3 dollars and reached 447 USD and its bitumen price remained at the level of 430 USD.

Bitumen price in South Korea was traded at the level of 410 USD, and Bahrain’s bitumen price was fixed at 360 USD, like in the previous weeks.

Bitumen prices in Europe faced some surges in the range of 430-460 USD.

On February 15, India experienced the second consecutive rise and its bitumen price increased by 9.5 USD considering the significant competition in India, it seems that a slight surge in bitumen prices in India can be expected on March, 1st.

Approaching New Year and Ramadan month in Iran, the conditions became tough. The worries about changes in ocean freight, container shortage, and customers’ pressure to receive their cargo before New Year increased the export load in Iran like the previous years. There was insignificant competition among the refineries for VB purchase, and US dollar value improved against the Iran Rial. Overall, it should be noted that the direction of Iran’s market is directly following the volume of demands and oil prices.

In the current situation and considering instant changes in the market, the Infinity Galaxy team is ready to support its valued clients with its special services.

This article was prepared by Razieh Gilani, the export manager of Infinity Galaxy.