Weekly Bitumen Report: Temporary Pause of the Market Caused by Holidays

In the latest report of Bloomberg, the level of possible recession among 20 major economic powers of the world in 2023 was estimated. Based on the report, the possibility of a recession in some of the countries is as follows: United Kingdom 75%, United States 65%, China 12.5%, and India almost zero.
In this report, at least 10 main economic powers will probably experience a recession of over 50% in 2023. Considering this report and even the previous positive reports received from China, the threat of global recession is still felt, hence, in the latest report on Oilprice, the continuation of the drop in oil prices can be attributed to the concerns about its demands.
During the first 3 days of the current week, Singapore’s HSFO CST180 dropped around 14 USD, and Brent crude oil decreased up to 81 USD on Thursday.
On 19 April, Singapore and South Korea’s bulk bitumen were traded unchanged at 470 and 420 USD, respectively.
Bitumen price in Bahrain was recorded at 370 USD, and Europe seems to experience a better situation compared to East Asia.
Bitumen price in India increased by 16.5 USD on 15 April but still, it is heard that the Indian market suffers from a shortage of bitumen and it seems that the prices will be somehow modified on May, 1, 2023.
During last week, which was the ending week of Ramadan month, Iranian refineries competed for vacuum bottom around 88%, and exchange rate remained stable in the channel of 500K Rial. Hence, for the sixth consecutive week, the bitumen price in Iran was under the pressure of competition and exchange rates.
On the other hand, on 24 April, it is most probably expected to observe an upward trend of vacuum bottom price in Iran.
With respect to the 3-day Eid holiday and approaching monsoon season in India and other countries, it is necessary to observe the trend of the market by the end of the holidays in the Muslim countries and the market activists are still advised to trace the changes of market closely.
This article was prepared by Razieh Gilani, the export manager of Infinity Galaxy.