The motoring public should brace for mixed fuel price adjustments next week, following a rollback in pump prices this week.
Citing the latest four-day trading data, Department of Energy–Oil Industry Management Bureau Assistant Director Rodela Romero said in a text message Friday that gasoline prices may rise by about P0.50 per liter. At the same time, diesel could fall by P0.70 and kerosene by P1.00 per liter.
“Based on the (adjusted short-term outlook), the drop is due to aggressive OPEC+ supply growth which is expected to drive global inventory builds as well as weaker global demand outlooks by the International Energy Agency,” Romero said.
Meanwhile, Jetti Petroleum Inc. President Leo Bellas projected a diesel price drop of around P0.70 to P0.90 per liter and a gasoline increase of between P0.40 and P0.60 per liter.
“Overall, crude oil prices have weakened this week on the prospect of easing of sanctions on Russia should a ceasefire or peace deal happen during the meeting between US President Trump and Russian President Putin,” Bellas explained.
“Bearish inventory and supply data, and worries of declining demand have also weighed on prices, with US crude and diesel inventories rising more than expected,” he added.
Like Romero, Bellas also noted that easing US-China trade tensions and optimism over a possible US interest rate cut in September have helped support oil prices, while uncertainty over US-Russia peace talks adds a bullish risk premium should no deal be reached.