Oil Monitor as of 08 October 2024

WORLD OIL PRICES (September 30- October 4, 2024, trading days)

The week-on-week price of Dubai crude has increased by around $0.50 per barrel. The international price of diesel and kerosene have also increased week-on-week by about $1.80 and $1.30 per barrel, respectively. On the opposite, the international price of gasoline has decreased by nearly $1.20 per barrel. 

Reasons for the Price Adjustment1

  • Crude futures settled higher in reaction to news that Israel is considering an attack on Iranian oil facilities.
  • President Biden on Oct. 2 spoke with G7 leaders to coordinate new sanctions and other measures to respond to Iran's recent attack on Israel.
  • The Joint Ministerial Monitoring Committee overseeing OPEC+'s production pact met Oct. 2 but did not recommend any changes to current plans.
    • OPEC+ remains committed to reinstating 2.2 million b/d of voluntary cuts starting in December and will keep current production levels until then, despite concerns regarding some members' continued inability to meet their targets
  • Global energy markets were on edge after Iran launched a new missile attack on Israel, raising fears of a major regional escalation and potential direct conflict between the two nations.
  • Gasoline remained bearish as tensions in the Middles East escalate. Regional supplies remained ample, exported from Middle East to Singapore amid closed arbitrage to the west and ongoing seasonal weakness in demand.
  • The Asian ultra-low sulfur gasoil/diesel rose on growing demand expectation. Demand is expected to improve in the near term due to the harvest season in September and October followed by winter demand.

FOREX: The week-on-week average of Philippine peso depreciated versus the US dollar by P0.26 to P56.20 from P55.94 in previous week.

DOMESTIC OIL PRICES

Effective 08 October 2024, the oil companies implemented an increase of P1.20/liter for diesel and P0.70/liter for kerosene while no movement was effected for gasoline.

Year-to-date, total adjustment of diesel stands at a net increase of P4.05/liter while gasoline remains at P6.40/liter. On the other hand, kerosene has a total net decrease of P5.35/liter.

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1 Asia Pacific 04 October 2024 Weekly Recap by S & P Global Platts Analytics

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For more information, call the

Department of Energy
Pricing: 8840-2187
LPG: 8840-2130
Fuels: 8840-5669

Website: https://www.doe.gov.ph