Oil prices closed with growth at the end of May. The crude prices caused many turbulences in bitumen and petroleum products markets since they brought price fluctuations. Bitumen prices, in the Middle East, stayed steady compared to last week’s prices. With – $ 5 / + $ 5 fluctuations, the bulk bitumen is currently in the range of $ 390 – $ 400 and the new steel drum is volatile in the range of $ 455 – $ 465.
China is trying to ease the covid restriction; however, the country could not fully restrict the virus and several regions are still struggling. The easing of restrictions can boost the trades and economic activities but experts are worried as they are sceptical about the stability of these growths and their speed of it. China seems to be slowing down in economic growth. The slowdown can put the world in a dangerous situation as China was the leading economy for the past several years.
Fuel prices can still continue their hike; although they were slightly steady for a while. The LNG is becoming a mass for most countries especially in Africa since the war between Russia and Ukraine. Many countries took Russia’s fuel and energy for granted before the war and now they have to look for a replacement. With the onset of the US demand season, fuel can experience more increases in the coming months.
The bitumen and petroleum products can experience higher prices along with crude because the price of oil is probably increasing to its previous peak. Traders should be cautious about making decisions but they should not wait too long for better prices in such a critical moment.
This article was prepared by Mahnaz Golmohammadian, the Content specialist and market analyst of Infinity Galaxy.