P1 per liter gasoline price rollback this week

Credit to Author: Tempo Desk| Date: Sat, 27 Jul 2019 09:05:02 +0000

Motorists filling up their tanks with gasoline can anticipate about a P1 per liter rollback, but for those using diesel, there will be a slight increase of P0.10 per liter on Tuesday.

The calculated pump price adjustments had been based on the outcome of four-day trading in the international market but outcomes may still change depending on the result of last Friday’s trading.

The oil companies, being their routine, are expected to implement cost movements on July 30, although the dictate of market forces and their inventory levels might prompt some players to implement adjustments ahead of the rest.

As noted by market analysts, the continued forecast of global economic slowdown interminably sparks off the softening of prices in the world market – with just some sporadic geopolitical events precipitating hikes in prices at times.

Last week, there had been reports of drop in the crude inventory of the United States and a brewing tension in the Middle East which could have triggered upticks in prices.

Nevertheless, those geopolitical events had been clouded by lingering assumptions of slowdown in the growth of global economies, hence, the overall outcome had still been downswing in world oil prices.

On a global scale, oil firms are being cautioned of “longer financial pain” as experts observe a manifest decline in drilling rigs being deployed – with many oil producers also adhering to more disciplined capital spending.

At this point though, market watchers and analysts are circumspect at giving projections that oil prices may be hitting another round of “rock bottom level” such as the $30 per barrel level in early part of 2015.

For the Philippine oil market, the struggle is still confined with the conundrum of not exactly knowing what cost components the consumers have been paying for at the pumps.

On the weekly pricing adjustments, the oil companies just hold the consumers captive at providing general information like cost swings in the international market and the dictates of market forces being the “main triggers” to cost movements. (Myrna Velasco)

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