WORLD OIL PRICES (April 15-19, 2013 trading days)

A series of report reducing oil demand forecasts by global energy agencies and a slew of weak economic data from the United States and China, the world's two largest oil consumers caused crude oil prices to decrease in the second week of April. This was further sustained last week by a relatively weaker demand as manifested in the US-DOE inventory report. While the U.S. crude inventories had fallen by 1.23 million barrels due to higher demand in the week ending April 12, week to week data was reportedly volatile and inventories were still near their highest level since 1990.

The International Monetary Fund’s (IMF) recent outlook on world economic growth, which was lowered this year to 3.3 per cent from its forecast in January of 3.5 per cent, likewise added concern to the market. The IMF expects U.S. economic growth of 1.9 per cent this year, down from its January estimate of 2.1 per cent, while the combined economy of the 17 euro countries is seen shrinking at 0.3 per cent in 2013.

Meanwhile, Platts noted that demand for gasoil/diesel in Asia has struggled to keep up with supply as the region has seen ample supply despite the refinery turnaround season. Unexpected exports from China reportedly surprised the market. Buying sentiment in the region has been, however, improving though not enough to support the market. Steady imports by Vietnam as well as cargoes moving to Africa were keeping up the market.

For gasoline, outright prices were genera lly on the downward trend following the declines in crude benchmarks. Although prices slightly increased last Friday, regional demand remains generally subdued because of lackluster demand from Indonesia, Asia's biggest importer of gasoline.

Further, week-on-week Dubai crude decreased almost US$5/bbl. Gasoline also dropped by about US$4/bbl, as well as diesel by more than US$6/bbl.

FOREX: Philippine Peso depreciated against the US dollar by P0.11 to P41.26, from P40.14 in previous week.

Other recommended reference sites: 
(1) http://www.aip.com.au/pricing (2) http://www.med.govt.nz/ers/oil_pet/prices/prices.html

DOMESTIC OIL PRICES

Effective 20, April 2013, most of the oil companies implemented a rollback of P1.05/liter for gasoline, P1.65/liter for diesel and P1.60/liter for kerosene.

Year-to-date, gasoline stands a net decrease of P2.55/liter; diesel also at a net decrease of P2.92/liter.

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: http://www.doe.gov.ph