Local oil retailers adjusted their prices for the third consecutive week.
The rollback was mainly caused by the expected US rate hike later this month which is seen to help arrest global inflation but may also hit demand for petroleum products.
According to the Department of Energy (DOE), average Manila price per liter as of July 7 stood at P86.30 for gasoline; P87.70 for diesel and P90.52 for kerosene.
Caltex and Seaoil cut per liter prices by P5 on gasoline; P2 on diesel and P0.70 on kerosene.
PTT and Clean Fuel adjusted per liter prices downward by P5 on gasoline and P2 on diesel.
The DOE said year-to-date adjustments on petroleum prices as of July 12 summed up to a net increase of P24.30 per liter for gasoline, P36.80 per liter for diesel and P30.05 per liter for kerosene.
Reuters reported that as of Friday last week, Brent crude futures settled at $101.16 a barrel while West Texas Intermediate crude settled at $97.59 per barrel.
The report also noted oil prices have been in a downturn in the past two weeks due to fears of a global recession as well as the drop in crude prices and refined products exports from Russia amid Western sanctions and supply disruption in Libya.
However, analysts said the price drop could have been much higher if not for the possibility that Saudi Arabia will not immediately increase its crude production despite US president Joe Biden’s state visit to the Middle East.
The report said Saudi Arabia will still wait for the outcome of the meeting of the Organization of the Petroleum Exporting Countries on August 3.
The US said if the group decides to boost production in the months ahead, this will be a good signal to the market and may stabilize oil prices.
The DOE said over the weekend Secretary Designate Raphael Lotilla is updated “on matters affecting oil prices and other items for the immediate action of the department.”
Lotilla tested positive for the new coronavirus disease 2019 last Saturday and is currently undergoing medication at home and self-isolation.
