Weekly Lubricant & Chemical Report: New Wave of Uncertainty in the Market

After releasing new data on the US service sector and increasing concerns about the contractionary policies of the US central bank, the price of oil reached its lowest level in the past year. Crude experienced a noticeable decrease on Tuesday and Wednesday and Brent got below 80.

On the other hand, the increase in Venezuela's oil exports is happening with the joint investment of the American Chevron company in Venezuela's oil and gas industry. The implementation of the Russian price cap, which took place on December 5, was not much effective. But the fact that Russia has maximized its production is suppressing the price.

The new conditions indicate stagnation in the major economic powers of the world. Considering the cut by OPEC, it is also concerned about the economic situation in the world.

As winter starts in Iran, the export volume of petrochemical products should increase. Yet, so far no increase has been seen and the export has decreased significantly compared to last year.

The price of recycled base oil in Iran is approximately 790-810 dollars FOB Bandar Abbas, paraffin wax is between 980 and 1050 dollars and caustic soda is between 810 and 830 dollars.

Crude oil is still testing the price level and it is not clear where it ends at the moment.