The prices for kerosene, diesel, and liquefied petroleum gas will increase starting tomorrow, influenced by fluctuations in the Means of Platts Singapore (MOPS), international freight costs, and foreign exchange rates. Meanwhile, the prices for motor spirit and premix will remain stable due to the strengthening of the US dollar against the Fijian dollar, according to the Fiji Competition and Consumer Commission.
In November 2024, the crude oil market faced changes due to a well-supplied spot market and reduced demand for December loading cargoes, particularly in the Atlantic Basin, as refiners tended to lower their crude stock levels towards year-end for tax purposes. At the same time, crude oil prices saw a notable rebound at the start of November, spurred by improved market confidence following the approval of a substantial fiscal stimulus package in China, which raised expectations for increased demand from the world’s largest oil importer.
Additionally, a weaker US dollar contributed to making crude oil more affordable for non-US dollar holders, further supporting price levels. Traders were also mindful of potential supply disruptions caused by a tropical storm in the US Gulf of Mexico, which temporarily heightened concerns over supply risks. However, this upward momentum was counterbalanced by an unexpected increase in US crude stocks, indicating a balance in the US market. Towards the end of the month, prices showed resilience amid rising geopolitical tensions in Eastern Europe and temporary supply issues in the North Sea.
In conclusion, while consumers may face higher energy costs in the short term, the ongoing global economic adjustments and measures taken by China may foster a more sustainable demand for crude oil in the future. This dynamic nature of the oil market highlights the interconnectedness of global economic events and their impact on local energy prices.
Leave a comment