Oil prices are projected to rise again next week, partly due to supply issues.
In a statement, Jetti Petroleum president Leo Bellas said diesel prices are seen to increase by P0.80 to P1.00 per liter and gasoline by P0.40 to P0.60 per liter.
He said crude and refined fuel prices “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.”
“Demand optimism further supported prices following signals from (the) US Federal Reserve of possible interest rate cut, and large drawdown in US crude and fuel inventories,” he added.
Bellas noted that “expectations that US demand could drop after the coming end of the summer driving season (are) tempering further price gains.”
He cited as another factor that tempers price hikes the “prospect of rising supply as OPEC+ plan to raise September output and remove some voluntary cuts.”
“Bringing further uncertainty to the market is the potential impact on supply flows and global economy of the new US tariffs on India,” he added.PNA
