WORLD OIL PRICES (January 23-27, 2023 trading days)
The week-on-week price of Dubai crude has increased by almost $1.00/bbl. MOPS gasoline, diesel and kerosene have also increased by about $3.70, $2.50 and $3.50 per barrel, respectively..
Reasons for the Price Adjustment1
- Crude oil futures strengthened amid optimism surrounding a robust Chinese demand recovery and expectations around the US Fed slowing the pace of rate hikes.
o Signs of a softening US labor market and slowing inflation raised expectations that the US Federal Reserve will again slow the pace of its interest-rate hike at a policy meeting on Jan. 31-Feb. 1..
- Asian gasoline crack strengthened on lower Chinese gasoline exports in January amid high domestic demand during the Lunar New Year festivities.
o On inventory, US gasoline stocks rose 1.76 million barrels to 232.02 million barrels in the week ended Jan. 20, still down 6.4% on year, per US EIA data.
o Singapore’s commercial stockpiles of light distillates, which include gasoline, fell by 7.1% on week in the week ended Jan. 25, though still up 13.6% on year.
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Asian gasoil crack softened as market activity in the region remained subdued during the Lunar New Year holidays. But East-West arbitrage flows kept market sentiment supported.
o Chinese exports at around 1million mt for January was much lower compared with December’s exports of 2.79 million mt, a 33-month high, despite that industrial activity slowed down during the Lunar New Year holiday.
FOREX: The week-on-week average of Philippine peso appreciated versus the US dollar by P0.24 to P54.48 from P55.72 in previous week.
DOMESTIC OIL PRICES
Effective 31 January 2023, the oil companies implemented a per liter increase in gasoline by P1.30, diesel by P1.00 and kerosene by P1.35.
These resulted to a total net increase this year to stand at P7.20/liter for gasoline, P3.05/literfor diesel, and P4.45/liter for kerosene.
For the updated prevailing retail pump price, please browse this link: https://www.doe.gov.ph/price-monitoring-charts?q=retail-pump-prices-metro-manila.
Other recommended reference sites:
• http://www.aip.com.au/pricing
• http://www.indexmundi.com/commodities/?commodity=crude-oil-dubai
• https://www.quandl.com/data/ODA/POILDUB_USD-Dubai-Crude-Oil-Price
For more information, call the
Department of Energy
Pricing: 840-2187
LPG: 840-2130
Fuels: 840-5669
SMS: (0915) 4469421
Email: oilmonitor@doe.gov.ph
Website: https://www.doe.gov.ph
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1 Asia Pacific Weekly Recap 13 January 2023 by S & P Global Platts Analytics