It appears that France and some other European Union nations began making attempts to end the war 407 days after Russia began its conflict with Ukraine. Macron, the French president, visited China in the interim. The likely peace’s economic effects are still unclear and need to be further studied.
On April 2, the OPEC members unexpectedly decided to reduce production by up to 1.66 million barrels per day. As a result of this choice, oil prices rose by about 4 USD on Monday in the international markets, reaching 84 USD, or an increase of more than 5% in price.
As a result, the daily production will drop by 3.66 million, or about 3.7 percent of the world’s oil demand.
Singapore’s HSFO CST180 increased by about 40 USD over the past three days, reaching 465 USD, as a result of the rise in oil prices.
On April 5, however, South Korean bitumen’s price dropped to 420 USD, the lowest price in recent weeks, and Singapore’s bulk bitumen traded at 470 USD after an odd decline of 20 USD.
Bitumen from Bahrain was being traded at 355 USD for the second week in a row.
In India, the price of bitumen is anticipated to increase again in the middle of April because of the high demand.
The situation in Iran is somewhat complicated. During the New Year’s holiday, the US dollar was on the rise, but once the official working days began, it began to decline. As a result, prices rose.
However, the pricing formula was changed to reflect the equity rate of the US dollar against the Iranian rial at the president of Iran’s request, and as a result, the vacuum bottom dropped by about 20% while refineries competed for about 64% of the vacuum bottom.
Due to this circumstance, it was difficult for exporters and buyers to determine Iran’s actual bitumen price, and the difference between the highest and lowest prices grew too large.
Due to the high demand at the same time, Iran’s bulk bitumen price rose more than the price of packed bitumen. It appears that the Iranian market needs some time to find its proper direction.
This article was prepared by Shirin Yousefi, the Content specialist and market analyst of Infinity Galaxy.