Consumers anticipate relief in their pockets on oil price rollbacks

Consumers can expect a welcome relief at the pumps next week as oil prices are projected to undergo a significant rollback, providing some breathing space for their wallets. Based on calculations by oil companies, gasoline prices are anticipated to decrease by P0.70 to P1.10 per liter, while diesel prices are expected to see reductions of P0.85 to P1.25 per liter, and kerosene prices by P0.65 to P1.05 per liter.

These estimates are derived from the Mean of Platts Singapore (MOPS) index over a four-day trading period, suggesting potential price cuts of around P1.022 per liter for gasoline, P1.292 per liter for diesel, and P1.054 per liter for kerosene.

However, it’s important to note that these projections are subject to change, particularly considering ongoing fluctuations in the global oil market. Recent indications of price escalations in the world market may impact the final calculation of price adjustments at the end of the trading week.

Oil companies caution that the actual price rollback at the pumps may differ due to factors such as sustained market risk premiums linked to geopolitical tensions in the Middle East. Despite the anticipated rollback, a monitoring report from the Department of Energy (DOE) reveals that prices have already seen cumulative increases since the beginning of the year, with gasoline prices rising by P6.15 per liter, diesel by P5.40 per liter, and kerosene by P1.50 per liter.

Industry experts attribute the recent decline in prices to growing concerns about the slowdown in global demand, despite efforts by countries like China to stimulate economic growth. This trend reflects the complex interplay of economic factors shaping oil prices and underscores the importance of monitoring market developments in determining future price movements.

News: Consumers anticipate relief in their pockets on oil price rollbacks