World oil prices fall for third consecutive session ahead of OPEC+ meeting

Gasoline price today , world oil price June 1 , 2024

Recorded on Oilprice at 4:30 a.m. on June 1, 2024 (Vietnam time), WTI oil price was at 77.18 USD/barrel, down 1.18% (equivalent to a decrease of 0.92 USD/barrel).

WTI oil price on the world market early morning June 1 (Vietnam time)

Similarly, Brent oil price was at 81.63 USD/barrel, down 0.29% (equivalent to a decrease of 0.24 USD/barrel).

Brent oil price on the world market early morning June 1 (Vietnam time)

Oil prices continued to fall in today's trading session and recorded weekly losses as investors waited for Sunday's OPEC+ meeting to decide the fate of the producer group's production cuts.

“It’s a nervousness before the OPEC meeting at the end of the week,” said Matt Smith, chief analyst at Kpler, adding: “There is widespread expectation that they will cancel the cuts.”

Markets are awaiting an OPEC+ meeting on Sunday, with the producer group working on a complex deal that would see it extend some deep oil output cuts into 2025, sources told Reuters.

In addition, sources also said that Saudi Arabia invited ministers to gather in person in Riyadh for the June meeting in a last-minute change of plans. The gathering was still officially scheduled as a virtual meeting.

Data from the US Energy Information Administration (EIA) showed that US crude oil production rose in March to its highest level this year, while fuel products supplied, a proxy for demand, fell 0.4% to 19.9 million barrels per day.

Oil markets have been under pressure in recent weeks due to the prospect of higher US borrowing costs for longer, which limits funding and could curb oil demand.

Both oil benchmarks were headed for their biggest monthly declines since December after falling in the previous session on a surprise build in U.S. fuel inventories.

“The U.S. summer travel season kicked off over Memorial Day weekend, with early signs of strong driving and flying activity – but fuel use appears to be quieter, implying efficiency gains,” Citi analysts wrote in a note.

Oil prices briefly rose after U.S. government data showed inflation was flat in April, bolstering traders’ bets that the Federal Reserve will deliver a long-awaited interest rate cut in September.

Eurozone inflation rose more than expected in May, Eurostat data showed. The increase is unlikely to stop the European Central Bank from cutting borrowing costs next week, but it could slow down the rate-cutting cycle.

US energy companies kept the oil and gas rig count - an early indicator of future output - steady at 600 in the week to May 31, energy services firm Baker Hughes said in a report.

The oil rig count fell by one to 496 this week, while the gas rig count rose by one to 100.

However, the total rig count fell for a third straight month in May, down 13 rigs, the most in a month since August.​

The U.S. Commodity Futures Trading Commission (CFTC) said money managers increased their net long positions in U.S. crude oil futures and options in the week to May 28.

Domestic gasoline prices today June 1, 2024

Domestic retail gasoline prices on June 1, 2024 will be applied according to the adjustment session from 3:00 p.m. on May 30 by the Ministry of Finance - Ministry of Industry and Trade.

Domestic gasoline prices will be adjusted from 3:00 p.m. on May 30. Illustrative photo

Specifically, the price of E5 RON 92 gasoline decreased to 21,759 VND/liter; RON 95 gasoline decreased to 22,519 VND/liter.

In this adjustment session, oil prices were adjusted up and down alternately. Specifically, diesel prices fell to 19,747 VND/liter; kerosene rose to 19,931 VND/liter. Fuel oil was adjusted up 25 VND/kg to 17,538 VND/kg.

Item	Price (VND/liter/kg)	Difference from previous period
E5 RON 92 gasoline	21,759	-518
RON 95 gasoline	22,519	-694
Diesel	19,747	-90
Oil	19,931	+29
Fuel oil	17,538	+25

According to the explanation of the Ministry of Industry and Trade, the above changes in domestic gasoline prices are due to the influence of factors such as: the depreciation of the US dollar, concerns about US interest rates not decreasing for a long time, OPEC+ may maintain the policy of restricting crude oil supply at the meeting in early June 2024, the military conflict between Russia and Ukraine continues... The above factors have caused world gasoline prices in recent days to fluctuate between increases and decreases depending on each product.

Regarding the Petroleum Price Stabilization Fund (BOG) in this management period, the Ministry of Industry and Trade - Ministry of Finance decided: Not to set aside or use the Petroleum Price Stabilization Fund for E5RON92 gasoline, RON95 gasoline, diesel oil, kerosene, and fuel oil.

Thus, since the beginning of the year, the regulatory agency has made 22 adjustments to gasoline prices, including 9 periods of simultaneous increases, 6 periods of price decreases, and 7 periods of alternating increases and decreases in gasoline prices.

Source: https://congthuong.vn/gia-xang-dau-hom-nay-ngay-162024-dau-the-gioi-tuot-doc-phien-thu-3-lien-tiep-truoc-them-cuoc-hop-opec-323560.html