Jetti Petroleum president Leo Bellas on Friday said diesel prices will likely go up by P0.80 to P1 per liter and gasoline by P0.40 to P0.60 per liter next week, based on the Mean of Platts Singapore and foreign exchange average for the first four days versus last week’s full week average.
“Crude oil and refined fuel prices have rebounded this week, driven by concerns of supply disruptions after Russia and Ukraine intensified their attacks on each other’s energy infrastructure, and worries that new US sanctions on Russia and buyers of Russian crude oil will restrict global supply flows,” he pointed out.
Bellas explained that demand optimism supports higher prices following signals from the US Federal Reserve of a possible interest rate cut, and a large drawdown in US crude and fuel inventories.
“However, expectations that US demand could drop after the coming end of the summer driving season are tempering further price gains. Also offsetting some of the supportive factors is the prospect of rising supply as OPEC+ plans to raise September output and remove some voluntary cuts,” he said.
“Bringing further uncertainty to the market is the potential impact on supply flows and the global economy of the new US tariffs on India,” Bellas added.
Meanwhile, Rodela Romero, director of the Department of Energy’s Oil Industry Management Bureau, for her part, said kerosene is also expected to increase by around P0.50 per liter due to larger-than-expected drops in US inventories and the potential impact of new US tariffs on India.
“Oil traders are watching for updates from US-Ukraine-Russia diplomatic efforts,” Romero said.
On Aug. 26, the oil firms raised the price of gasoline by P0.70 per liter, diesel by P0.50 per liter, and kerosene by P0.30 per liter.
