Mixed pump price adjustments expected next week

Fuel retailers are expected to implement mixed adjustments in pump prices in the coming week.

Citing the Mean of Platts Singapore and foreign exchange averages based on full week (July 6 to 10) trading, an oil industry source said the estimated fuel price movements are as follows:

• Diesel - Hike of P2.50 to P4.50 per liter
• Gasoline - rollback of P1.25 to a hike of P0.75 per liter

The source said the pump price estimates also included cargo premiums and estimated oil industry recovery.

Meanwhile, a report on Super Radyo dzBB said the following adjustments might be seen next week:

• Diesel - P3 to P5 per liter (increase)
• Gasoline - P0.80 per liter (rollback) or P1.20 per liter (increase)
• Kerosene - P2.20 to P4.20 per liter (increase)

“Diesel and middle distillates prices have strengthened as inventories continue to fall amid rising global demand,” the industry source said.

“Asian gasoline prices have weakened slightly as the market has priced in the prospect of an increase in prompt supply from China,” the source added.

Fuel firms announce price adjustments every Monday, to be implemented on the following day.

This week, oil companies hiked pump prices from P0.20 to P0.25 per liter for gasoline, P3.20 to P3.57 per liter for diesel, and P1.70 to P3.70 per liter for kerosene.

The latest adjustments, the 27th price movement this year, resulted in a total net increase of P45.27 per liter for gasoline, P35.13 per liter for diesel, and P32.42 per liter for kerosene.

“Further price volatility is expected as the resumption of hostilities in the Middle East has revived fears of supply shortage as navigation through the Strait of Hormuz is again threatened,” the source said. —VAL, GMA News