Weekly Oil Report: Fears of Economic Slowdown Surpassed Supply Difficulties

On June 23, Brent oil closed around $74.34 and WTI settled at $69.47.

Things got ugly on Thursday for oil, making it to give up all the week’s gains.

The daily Friday candle shows a drawback by the market. Zooming in on the timeframe, the price is at a critical point on the 50% fib level and 4/1 resistance. Today’s candle will probably reveal the movement direction. Although we might expect a little increase, it doesn’t mean that the downtrend is vanished. The news, actually are adding up to the negative sentiments.

On Thursday, the market got terrified about the economic slowdown once again after the UK pulled up the interest rate by 0.5pp. The surprising report terminated all the positive sentiments created by the US 3.8m inventory draw on Wednesday.

The doubt flows into petroleum products too. The Exchange rate volatilities are adding up to these hesitations. On Saturday, June 24, Iran increased bitumen prices due to sudden changes in dollar against Rial that caused vacuum bottom to rise.

Here you can check several prices. If you need bitumen, contact me for the exact price.