WORLD OIL PRICES (April 29-May 3, 2013 trading days)

Week-on-week, Dubai crude increased by about US$0.60/bbl. MOPS gasoline also increased by US$0.30/bbl, as well as diesel by US$0.14/bbl.

Early last week, oil prices extended gains in previous week on investor’s expectation of stronger global economic activity, following positive news from Europe and US. It was also driven by weaker US dollar and overall stronger commodities prices.

However, prices seesawed within the rest of the week on mixed news of slower-than expected growth data from the world’s two largest oil consumers, China and the United States, and escalating tensions in the Middle East as Israel reportedly launched its second airstrike around Syria’s capital. Growth in China's manufacturing sector unexpectedly slowed in April as new export orders fell, raising fresh doubts about the strength of the economy after a disappointing first quarter. Meanwhile, the U.S. Energy Information Administration said, the country’s crude supplies jumped 6.7 million barrels for the week ended April 26, larger than the American Petroleum Institute forecast of one-million barrel increase.

As for assessments on the products market, Platts noted that Asian sentiment on gasoil/diesel remained bearish due to surplus barrels from China, South Korea and Taiwan amid lack of demand in the region. On the other hand, sharp declines of about US$4 in gasoline in the midweek reportedly caught up with the sharp correction in the US and European markets.

Platts further noted that the declines followed the sharp sell-off in global oil prices following bearish macro-economic data from the US and China and a weaker-than-expected US oil inventories report. The lack of buying support also helped push regional prices lower.

FOREX: Philippine Peso appreciated by P0.15 against the US dollar to P41.10, from P40.25 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

As of to-date, no notice of price movements for the week have been recieved from the oil companies. Prices in the table still reflect the adjustments effected last week.

The year-to-date total adjustments of gasoline stands at a net decrease of P2.05/liter; diesel at a net decrease of P2.52/liter. LPG, which has been declining since January 2013 has a total decrease of P9.29/kg (VAT inclusive).

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