Oil companies raised prices for the third straight week.
Seaoil increased per liter prices by P2.10 on gasoline, P3.50 on diesel and P3.25 on kerosene.
PTT, Jetti and Phoenix Petroleum also adjusted per liter prices upward by P2.10 on gasoline and by P3.50 on diesel.
Today’s adjustments were mainly caused by the growing possibilities of a global fuel demand growth this year as central banks such as the US Federal Reserve and European Central Bank are reportedly nearing the end of their policy tightening campaigns.
Data from the Department of Energy (DOE) as of July 25 showed Manila price per liter of gasoline (RON95) stood at P68.80, diesel at P57.15 and kerosene at P69.93.
DOE data also showed year-to-date adjustments for the same period amounted to a total net decrease of P0.40 per liter for diesel and P3.35 per liter for kerosene and a net increase of P8.90 per liter for gasoline.
However, today’s adjustments will leave kerosene as the only fuel product with a total net decrease.
Reuters reported that as of Friday last week, Brent crude settled at $84.99 a barrel while US West Texas Intermediate crude ended at $80.58 per barrel.
The report added bullish demand expectations for global crude prices were also supported by last week’s report of US’ second quarter gross domestic product which grew at 2.4 percent that is above previous forecast targets.
Other factors that supported higher prices include European economies’ display of “unexpected resilience” in the second quarter apart from China’s pledge to step up stimulus measures to boost post-pandemic recovery after the world’s second-largest economy grew at a slower pace in the similar period.
Amid better economic prospects, experts cite that declining oil inventories of both US and Saudi Arabia continues to push prices. -Jed Macapagal
