In the crude oil market, the amount of Russian gas transported to Europe has decreased, and the policy has been announced that the import of Russian oil will be stopped due to the EU’s economic sanctions on Russia. It was reported that the adjustments were being continued, and the sense of caution about the supply turmoil became stronger again. Crude oil prices also rose as the city of Shanghai, China relaxed measures against the new corona virus and began to resume economic activities.
On the other hand, in the LP gas market, demand for propane decreased due to the warm climate in Europe, and the market conditions softened, supported by demand for alternatives to natural gas. The Middle East market is also in a period of low demand, and supply seems to be abundant, with multiple companies hearing SPOT sales surplus. In the United States, inventory is higher than in the Middle East, and MB prices are falling compared to CP. The supply of US balls is also abundant. Demand for China has fallen due to lockdown due to the spread of corona infection, and spot buying in India has been sluggish. Market conditions have softened due to easing supply and demand. Crude oil prices have risen sharply, so if it continues, it is possible that CP and MB will rise again. (Source: Energy Intelligence Network, ENEOS GLOBE WeeklyReport)