Consumers seen to get respite from oil price hikes next week

AP FILE PHOTO

MANILA, Philippines—Motorists may heave a sigh of relief next week as local oil companies are not expected to increase prices of petroleum products, based on the current price movements in the global market.

Fernando Martinez, chairman of independent player Eastern Petroleum, said there would likely be a “pause” from the successive oil price hikes as seen over the last three weeks due to relatively stable oil market this week.

If there are no significant issues that will significantly influence oil price movements on Friday, which is the last trading day, a rollback in diesel prices may even be possible next week, according to Martinez.

The past three weeks have seen successive oil price hikes, reflecting the uptrend in the global oil market, after more than two months of successive rollbacks. The uptrend has been mostly due to heightened violence in Syria, and tensions between Iran and the US over Tehran’s nuclear program that kept the oil market wary of the potential for the region’s oil supplies to be disrupted, the Department of Energy said.

As of July 24, total adjustments in local oil prices resulted in a net increase of 43 centavos a liter in the price of gasoline, and a net decrease in diesel prices of P2.16 per liter.

Diesel prices now ranged from P38.90 a liter to P42.79 a liter while gasoline now sells for P48 a liter to P55.57 a liter.