Wednesday , September 28 2022

Cheaper Fuel Forward Forward – Business


53 minutes ago

In recent days, we have seen a sharp decrease in average prices in the domestic retail market. It's a nice move on long weekend trips, but we can see further reductions, e-Petrol analysts predict.

Looking for gasoline price reductions? / © 123RF / Picsel

It is true that there have been changes in the last week that could stimulate increases in our country, but the short-term impetus associated with the postponement of US duties on China has proved insufficient to disrupt the mood of Polish drivers.

What are the changes in refinery pricing?

Changes in the price lists of refineries are up from the end of last week, but they are not too dynamic in scale, especially for gasoline. They climbed over PLN 30 per cubic meter. Today, 98-octane gasoline costs PLN 1669 and Pb95 costs PLN 3 963.4. In the case of wholesale diesel prices, the change was over PLN 60, and the average price of this fuel today is PLN 3,997 / cubic meter. The average price of heating oil at the moment is 2554.4 PLN / cubic meter, which gives us an increase of over 48 PLN compared to last weekend.

It will be cheaper at the stations

Polish drivers will be able to expect price changes between 19 and 25 August that will bring the average price of 98-octane gasoline to be in the range of PLN 5.36-5.47 / l. Reduction is also possible with 95-octane gasoline, which can cost 5.02-5.13 PLN / l. For diesel, analysts estimate that the average price of this fuel will be 4.95-5.06 PLN / l. As for the average price of gas at Polish stations, its level will be between 1.95 and 2.02 PLN / l.

Short-term optimism in the oil market

Last week, the London Stock Exchange's oil prices returned for just over $ 60, with local price peaks at $ 61.50 on Tuesday. Optimism, however, was temporary, and this morning buyers are paying just over $ 59 a barrel of Brent oil.

The arguments for a refund were provided during the first half of the week by the surprising decision by the US administration to suspend additional duties on imports from China. The new 10% charge on select products from China (including phones and laptops) was due to take effect in early September, but on Tuesday, US authorities announced that these tariffs would only apply from mid-December. Investors received this as a signal to improve relations between Washington and Beijing, and oil is responding to these reports with the largest daily price increase this year.

However, the good mood did not last long and before the weekend the price of raw materials returned to the final level from last Friday. Fears about the state of the global economy and its impact on demand for petroleum products have contributed to rapid profitability. In a weekly report, the US Department of Energy registered a surprising increase in oil reserves with a record result of gas demand in the United States. In addition, the inversion of the yield curve appeared on the US bond market, ie. higher yields on two-year bonds than on 10-year long-term securities. Such coverage usually heralds a recession in the US and was last observed in 2007, just before the global financial crisis erupted.

Ed. Dr. Jakub Bogutsky, Grzegorz Maziak,

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