Local fuel retailers are rolling back their prices starting Tuesday on continued weaker- than- expected demand for fuel from China as well as the possibility of a slower pace of interest rate cuts in the US.
Seaoil and Caltex reduced per liter prices of gasoline by P0.85, diesel by P0.75 and kerosene by P0.90.
Jetti and PTT adjusted prices downward by P0.85 per liter of gasoline and P0.75 per liter of diesel.
Data from the Department of Energy (DOE) as of November 5 showed Manila price per liter of gasoline (RON91) stood at P57.50, diesel at P55.15 and kerosene at P71.66.
DOE data also showed year-to-date adjustments as of the same date stood at a total net increase of P8.65 per liter for gasoline, P7.30 per liter for diesel and a net decrease of P2.60 per liter for kerosene.
Reuters reported that as of Friday last week, US West Texas Intermediate futures settled at $67.02 per barrel while Brent crude futures ended at $71.04 a barrel.
Reuters cited a report by the National Bureau of Statistics which said China’s oil refiners last October processed 4.6 percent less crude compared to the same period last year, mainly due to plant closures and reduced operating rates at smaller independent refiners.
It added China’s factory output growth slowed last month, the same time when demand issues in its property sector showed few signs of being resolved.
Investors re cautious over the economic health of China, the world’s largest crude importer. The report said if the US government would decide to slow down on cutting interest rates, economic growth and fuel consumption will be negatively affected.
