Weekly Bitumen Report: Effects of Trump’s Victory on Global Financial and Commodity Markets

The most important news of the week was the victory of Donald Trump in the U.S. presidential election, and he became the president for the second time. It was a significant achievement for the Republicans after running Trump’s election campaign for one year.

On November 6, the metal exchange of China dropped by 3% which is a sign of fear of new tariffs and retaliatory actions against China with Trump’s entry. By the release of the final result of the U.S. election and Trump’s victory, gold prices started a downtrend and fell to $2,680.

At the same time as the U.S. election, Israel’s Prime Minister fired Gallant, his defense minister. This decision can be interpreted as a decision of war continuation with a greater destructive power.

Most of the analysts state that considering Trump’s plans to stop the war before he enters the White House on 20 January 2025 and the end of the Ukraine–Russia war within a short term, it can be expected to come up with significant price changes, especially in the gold market.

It is not clear whether Trump aims to continue his commercial war with China or not? The next attempt of Trump will be probably the change of the U.S. interest rate.

It is expected to see numerous changes for the next 3 months considering the above issues.

On Thursday, crude oil prices reached $75 and remained stable in the current range. Singapore 180CST closed at $461.

Bitumen prices in Singapore and South Korea settled at $457 and $430, respectively.

The unchanged trend of bitumen price in Bahrain continues and it remained at $395 for another week.

The bitumen price in Europe faced some increases and closed at the range of $450-500.

After the $17 surge on November 1, India is expecting another surge in mid-November.

With Trump’s entry into the White House and despite the unprecedented increase in the dollar’s value against the rial in Iran, competition for purchasing vacuum bottom intensified significantly, and the bitumen price rose to an unprecedented level within the past 16 months. It is expected that this trend will continue in Iran until the end of 2024. If tensions between Iran and Israel escalate, we should also anticipate new impacts on bitumen prices.

To check the latest bitumen prices at different destinations, check Infinity Galaxy website: https://infinitygalaxy.org/bitumen-price-today/.
This article was prepared by Razieh Gilani, the export manager of Infinity Galaxy.