Weekly Oil Report: Positive Trade Data Stimulating Energy Demand

Oil prices stick to the rangebound. Brent closed the week at $81.82 and WTI settled around $77.78. Watch crude technical analysis and comment your ideas:

Weekly candles recorded about 1% of loss despite positive economic reports. Obviously, the price is moving rangebound between two boxes in red and blue. Since February, oil has stayed in the same range. As it is near the bottom, there will be an opportunity to go long again on observing any reversal candle.  

U.S. inflation is moving more sustainably. Fed chief, Jerome Powell, suggests the Fed is ‘not far’ from cutting interest rates. Central Bank is getting closer to the confidence it needs. Future traders’ outlook to see the first cut has now shifted to June instead of March. 

U.S. IEA reported an increase in oil inventories by 1.4 million barrels. Released numbers are less than forecasted 2.1 million rise. The report suggests strengthening demand in energy sector.

China’s foreign trade recorded a new high. The strong start signals a potent year for China’s demand.

Super Tuesday 2024 highlighted frontrunners of US elections. Joe Biden and Donald Trump will be the official candidates of Democrats and Republicans.

Gold hit a new record high. For the first time in history, gold is approaching 2200 per ounce. The reinforced outlook of interest rate cuts and increasing demand in China are pushing the price forward.

Bitumen rates faced different directions in markets. India will probably decrease the price in mid-March. In Bahrain, rates are unchanged. Europe shows some intentions to decrease. In Iran, prices are flatline since the market is facing weather difficulties, transportation issues and it is getting closer to Norouz – Iran’s New Year.

Feel free to contact me for bitumen inquiries or more information.

This article was prepared by Mahnaz Golmohammadian, the export manager of Infinity Galaxy (www.infinitygalaxy.org).