Oil Monitor as of 14 November 2023

Date published: November 16, 2023

WORLD OIL PRICES (November 06-10, 2023, trading days)

The week-on-week price of Dubai crude has decreased by more than $4.30/bbl. Similarly, MOPS gasoline, diesel and kerosene prices have also decreased by around $1.20, $7.00, and $4.70 per barrel, respectively.

Reasons for the Price Adjustment1

  • Crude prices settled lower amid downbeat economic outlooks and easing global supply concerns.
    • The consistent weak economic data from China has weighed on sentiment, as the Custom’s report showed that the country’s exports experienced a sixth consecutive monthly decline in October. Being an export-oriented economy relying heavily on manufacturing exports, this drop in trade volumes denotes on-going external challenges for economic growth in Asia.
    • US crude oil inventories rose by 11.9 million barrels for the week ended Nov. 3, data from the American Petroleum Institute showed late Nov. 7.
  • The Asian gasoline complex strengthened as market participants continued to expect China's gasoline exports to decrease in November and December while demand was expected to rise from Philippines ahead of the Christmas festivities and from Australia due to the summer driving season.
    • Platts stressed that China may export less gasoline to utilize remaining clean product export quota volumes to export jet fuel instead amid favorable export margins.
  • For gasoil/diesel, lull demand in Asia and Europe is seen dampening the gasoil/diesel complex.
    • The demand lull in the Asian gasoil market was taking place against a wider backdrop of demand concerns, with a rise in China's October crude imports failing to allay concerns of weak demand in the near term.
    • Specifically for the ultra-low sulfur diesel, the market was holding steady to softer as traders continue to weigh demand-side fundamentals while awaiting the release of spot cargoes for December-loading dates.
    • Similarly, demand from Northwest Europe has been reportedly soft despite their lower diesel inventories for an extended period. Northwest Europe's low stock environment has been reached against a backdrop of poor imports, even as diesel demand remained tepid.

FOREX: The week-on-week average of Philippine peso depreciated versus the US dollar by P0.56 to P55.97 from P56.53 in previous week.

DOMESTIC OIL PRICES

Effective 14 November 2023, the oil companies implemented price rollbacks for gasoline, diesel and kerosene by P0.70, P3.00 and P2.30 per liter, respectively.

These said price adjustments resulted in a year-to-date net increase of P13.05/liter for gasoline, P6.35/liter for diesel and P1.69/liter for kerosene.

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: 840-2187
LPG: 840-2130
Fuels: 840-5669
Website: https://www.doe.gov.ph

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1 Asia-Pacific Weekly Recap 10 November 2023 by S&P Global Commodity Insights.

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