Heavy Aromatic Naphtha Solvent Prices are Likely to Keep its Uptrend till the 4th week of February in Europe

Rising crude oil value has begun injecting havoc condition across global market, as it has already started pushing up prices of several downstream commodities. As per the recent observation, Heavy Aromatic Naphtha Solvent price traced an uptrend in global market, due to high input cost amid stable offtakes from the respective market. However, pandemic related uncertainties have started wavering across USA and parts of Europe, which also helped government to unwind restrictions.

There were several reasons behind this steep rise in price of crude oil across global market, including tension between Russia and Ukraine, low inventories in USA, high demand from the global market. European market is in highly vulnerable condition, as Russia-Ukraine faceoff is getting worse day by day and no early sign of relief is observed. Being a major supplier of Natural gas to Europe, Russia always stays in strategic advantage, which has always been a threat for Europe that it could lead to a supply disruption. Rise in natural gas price, affects production cost of all commodities in Europe, as previously observed during Q4 2021. However, for now, rising crude value due to low inventories of USA and soaring contract purchases is threatening the crude derivative market, while consumers are tensed about their profit margins.

As per ChemAnalyst analysis, rising crude oil value will keep on affecting the price of Heavy Aromatic Naphtha Solvent till the end of February 2022. Despite, rising availability may mark marginal stability to prices, but no significant decline is expected from Heavy Aromatic Naphtha Solvent pricing dynamics across regional market. However, if the faceoff between Russia and Ukraine rises in future, situation would go worse, and commodities prices will spike up exponentially. In addition, easing COVID restrictions has started bolstering the overall demand fundamentals for the product across major European economies, which is also helping prices to maintain this uptrend.