WORLD OIL PRICES (June 2-6, 2014 trading days)

World crude prices slid lower over the week in view partly of the following reports:

• Stronger US dollar. US Dollar rose after the European Central Bank cut its key interest rates to new all-time lows, from zero percent to minus 0.10 percent. Stronger greenback makes dollar-priced oil more expensive for buyers using weaker currencies, which tends to weigh on demand and pull crude prices lower.
• Easing tensions between Ukrain and Russia. Concerns eased over potential supply disruptions as Putin told media that he is ready to meet Ukraine's newly elected president Petro Poroshenko, as well as to Western European leaders. Ukraine is a conduit for a quarter of European gas imports from Russia.

Specifically for the products in the Asian market, Platts noted that demand for gasoline was steady to higher going into July amid the increase in supply as refineries returned from maintenance. Indonesia's buying program for July was heard to be more upbeat than for June, with state-owned Pertamina lining up 8.7 million-9.8 million barrels for the month, compared with 8.7 million barrels for June. Gasoline supply from Taiwan was recovering, along with steady supply in Japan that provided week-on-week increased exports. Strong demand from the Middle East has drawn more gasoline barrels from India.

As for the Asian gasoil/diesel, the weakness of the product in the Singapore market continued this week in the wake of falling Western crude markers and amid prevailing oversupply in the absence of demand.

Overall, week-on-week Dubai crude decreased of about US$1.30/bbl. Similarly, MOPS gasoline decreased by US$3.30/bbl as well as MOPS diesel by about US$3.70/bbl.

FOREX: Week-on-week value of Peso appreciated against the US dollar by P 0.01 to P43.81, from P43.82, in the preceding 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 09 June 2014, most of the oil companies decreased their prices of gasoline by P0.90/liter, diesel by P1.10/liter and kerosene by P0.70/liter.

Year-to-date price adjustments stood at a net increase of P0.70/liter for gasoline, while diesel has a net decrease of P1.40/liter, as shown in the table below

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