Oil Monitor as of 05 December 2024

Date published: December 6, 2024

WORLD OIL PRICES (November 25-29, 2024, trading days) 

The week-on-week price The week-on-week price of Dubai crude has decreased by around $0.05 per barrel. The international price of gasoline has also decreased by almost $1.50 per barrel. On the contrary, the price of diesel and kerosene have increased week-on-week by about $1.00 per barrel. 

Reasons for the Price Adjustment1

  • Crude oil futures were lower after the OPEC+ alliance postponed a meeting where they were expected to delay plans to increase production. This was also supported by a drawdown in US crude oil inventories.
  • However, the 60- day agreed ceasefire by Israel and Hezbollah weighed, with expectation of a more long-term peace agreement, potentially being discussed. 
  • Oil markets are also seeking clarity on Fed rate cuts projections, as slower-than-anticipated cuts can slow global economic activity and demand for oil.
  • The Asian gasoline complex is expected to remain supported by stable demand and tighter regional supplies. 
    • India’s gasoline exports declined 10.22% month on month but surged 66.65% year on year to 1.118 million mt in October, supported by stronger domestic demand.
  • Asian gasoil/diesel market fundamentals weakened as market participants anticipated sufficient supply for December.
    • North Asian premiums have been weak, dampened by low demand amid quiet activity and more economically attractive barrels from India and the Middle East. 

FOREX: The week-on-week average of Philippine peso appreciated versus the US dollar by P0.03 to P58.80 from P58.83 in the previous week. 

DOMESTIC OIL PRICES

Effective 03 December 2024, oil companies implemented a mixed adjustment on the price of petroleum products. Gasoline has increased by P0.90/liter while diesel and kerosene have decreased by P0.20/liter and P0.40/liter, respectively.

Year-to-date, total adjustment of gasoline and diesel stands at a net increase of P11.35/liter and P9.55/liter, respectively. On the other hand, kerosene has a total net decrease of P1.90/liter.

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1 Asia Pacific 29 November 2024 Weekly Recap by S & P Global Platts Analytics 

For the updated prevailing retail pump prices, please refer to this link:

Other recommended reference sites:

 

For more information, call the

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

Website: https://www.doe.gov.ph

 

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