Oil Price Rollback Expected Next Week, Fuel Companies Say

OIL PRICE UPDATE – Various fuel companies in the country are expecting an oil price rollback next week.

A rollback in oil prices usually leads to lower fuel prices at the pump, which can benefit consumers. Industries heavily reliant on transportation, such as logistics and shipping, may see reduced operating costs, leading to potentially lower prices for goods and services.

On Friday (April 26, 2024), the Department of Energy-Oil Industry Management Bureau (DOE-OIMB) announced that prices of gasoline, diesel, and kerosene are likely to decrease starting next week.

DOE-OIMB Director III Rodela Romero shared estimates for the rollback, which are based on four days of trading. Romero reported that gasoline prices may go down by P0.20 to P0.45 per liter, diesel by P0.40 to P0.60 per liter, and kerosene by P0.70 to P0.90 per liter.

Following Friday’s Mean of Platts Singapore (MOPS) trade, the final adjustments will be decided. There are other reasons for the drop in oil prices.

Romero said that since Tehran declared it would not react against Israel’s latest strike, tensions between the two countries had decreased. A further factor in the relief in oil markets was the uncertainty surrounding oil demand and the ongoing increase in US crude inventories.

“Oil prices settled lower due to easing fears of an Iran-Israel escalation after Tehran said it would not seeks to retaliate to Israel strike last week,” Romero said.

Energy analysts note that Romero stressed that oil prices remain unpredictable despite the expected rollback in prices.

“Added on the said relief on the oil markets are the uncertainty in the demand outlook and the continuous increase in the inventory of crude of the US,” he added.

The final price adjustments will be announced on Monday and will take effect the following day.

This is a developing report, just visit this website regularly or refresh the page for further updates.