Starting tomorrow, the prices of kerosene, diesel, and liquefied petroleum gas will see an increase due to fluctuations in the Means of Platts Singapore (MOPS), international freight rates, and changes in foreign exchange rates. Meanwhile, prices for motor spirit and premix will remain stable, attributed to the strengthening of the US dollar against the Fijian dollar, as reported by the Fiji Competition and Consumer Commission.
In a broader context, the crude oil market experienced a tumultuous November 2024 due to a well-supplied spot market and a decline in crude demand, particularly in the Atlantic Basin, as refiners began reducing their oil stocks in anticipation of year-end tax planning. Early November saw a rebound in crude oil prices, driven by improved global market sentiments following a significant fiscal stimulus package approved in China, igniting optimism around demand from the world’s largest oil importer.
A weakened US dollar also contributed to the rise in crude oil prices, making it more affordable for those using other currencies. Traders expressed concern over potential supply disruptions caused by a tropical storm threatening production in the US Gulf of Mexico, which temporarily raised concerns about supply stability.
Despite the optimism, the upward momentum was somewhat tempered by an unexpected increase in US crude inventories, indicating a well-supplied market domestically. Towards the end of the month, oil prices showed resilience amid rising geopolitical tensions in Eastern Europe and temporary disruptions in North Sea production.
In summary, while consumers will face higher prices for certain fuel types, rising global economic activity and strategic market movements continue to influence oil prices, suggesting potential for stabilization and growth moving forward. There is hope that with improving economic conditions and targeted fiscal policies, the markets may see positive changes that benefit consumers.
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